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

The benchmark Sensex and Nifty indices are expected to open positive on Jan 22, following GIFT Nifty trends indicating a gains of 66 points for the broader index.

After a positive opening, Nifty can find support at 22,950 followed by 22,800 and 22,600. On the higher side, 23,100 can be an immediate resistance, followed by 23,250 and 23,400.

The charts of Bank Nifty indicate that it may get support at 48,300 followed by 47,900 and 47,500. If the index advances further, 48,800 would be the initial key resistance, followed by 49,300 and 49,600.

The Foreign institutional investors (FIIs) extended their selling on the 13th day as they sold equities worth Rs 5,920 crore on January 21, on the other hand, domestic institutionals bought equities worth Rs 3,500 crore on the same day.

INDIAVIX was positive Yesterday up by 3.90% and is currently trading at 17.0550.

Yesterday, the Indian markets experienced a highly volatile session, with sharp selling pressure dragging the Nifty index to an intraday low below the 23,000 mark. However, the index managed to close near the 23,000 level. Global markets traded on a positive note, while Foreign Institutional Investors (FIIs) remained net sellers, raising concerns about the sustainability of the upward momentum. On the downside, the Nifty could test 22,800, followed by 22,500 levels, as the index continues to face selling pressure from higher levels. A breach below the 23,000 mark should be a concern. On the upside, immediate resistance is at 23,300, with the 23,500 level acting as a significant hurdle. Given the prevailing volatility, traders are advised to exercise caution, implement strict stop-loss strategies, and avoid carrying long positions overnight unless the Nifty index trades above the 23,500 mark to manage risk effectively.

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