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Below the Quote on Pre-Market Comment by Mandar Bhojane, Research Analyst, Choice Broking

Indian benchmark indices, including the Sensex and Nifty, are expected to open on a bearish note, continuing their ongoing correction phase for the sixth consecutive session.

On November 14, the Nifty closed below the 23,550 mark, and today the GIFT Nifty indicates a 75-point decline, reflecting negative sentiment and suggesting caution in the market. Notably, the Nifty failed to sustain above its intraday support level of 23,600, forming a Inverted hammer candlestick pattern on the daily chart, signaling potential downside momentum in the near term.

From a technical standpoint, the Nifty faces immediate resistance in the 23,800 to 24,000 range. The index is currently trading near its 200-day Exponential Moving Average (EMA) on the daily chart, with immediate support seen in the 23,350 to 23,300 range. This support zone may attract buying interest from opportunistic traders.

Similarly, the Bank Nifty closed below the 50,200 level, with further strength expected only on a decisive breakout above the 51,000 mark. The Bank Nifty is also trading close to its 200-day EMA, with key support between 49,800 and 49,900, and resistance projected between 50,500 and 51,000.

The Relative Strength Index (RSI) for the Nifty stands at 43.26, indicating that the market is in a weaker phase. On the institutional front, Foreign Institutional Investors (FIIs) were net sellers, offloading Rs.1,849.87 crore worth of equities, while Domestic Institutional Investors (DIIs) provided support with net purchases of Rs.2,481.81 crore. This underscores strong domestic buying interest amid a globally weak trend.

Although the GIFT Nifty suggests a negative opening, traders are advised to remain cautious and closely monitor global market developments. Key resistance levels should be observed for potential breakouts, while downside risks may continue to materialize if support levels are breached.

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