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Below the Quote on Post-Market Comment by Hardik Matalia, Derivative Analyst, Choice Broking

The Indian equity markets are expected to open on a flat to slightly bullish note today, as indicated by GIFT Nifty, which was trading around 22,570 in early trades, reflecting a modest increase of 25 points. This suggests a cautious market sentiment, influenced by global cues and the absence of strong domestic triggers. Investors will closely monitor global trends, crude oil prices, and institutional flows to assess the market’s direction. 

In the previous session, Nifty witnessed a sharp decline of nearly 247 points, followed by a recovery of 164 points from the day’s low, remaining within a consolidation range of 22,270 to 22,670 for the past four trading sessions. This price action resulted in the formation of a hammer candlestick on the daily chart, indicating potential support at lower levels. A breakout from this consolidation range may provide a firm directional move. Key support is positioned at 22,300, and a breakdown below this level could extend the decline toward 22,200–22,000. On the upside, resistance is observed at 22,720 and 22,858, with a decisive close above 22,858 potentially triggering a rally toward 23,000–23,180. 

Similarly, Bank Nifty experienced notable volatility while consolidating within the 47,857 to 48,260 range. This pattern suggests market indecisiveness, requiring further confirmation for a clear trend direction. A sustained move below the critical support level of 47,800 could lead to further downside, with immediate support at 47,500. Conversely, if the index rebounds from these levels, it may present buying opportunities. On the upside, resistance is observed at 48,260, and a decisive close above this level could drive the index toward 48,500. 

Regarding institutional activity, Foreign Institutional Investors (FIIs) offloaded equities worth Rs.1,627.6 crore on March 12, while Domestic Institutional Investors (DIIs) purchased equities worth Rs.1,510.4 crore on the same day. Given the prevailing market dynamics, traders are advised to exercise caution and wait for confirmation of price action at critical levels before initiating fresh positions.

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