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Below the Quote on Pre-Market Comment by Aakash Shah, Technical Research Analyst, Choice Broking

Indian equity markets are expected to open on a cautious note today, as indicated by GIFT Nifty, which was trading around 22,977 in early trades, reflecting a modest loss of 18 points. This suggests a subdued market sentiment influenced by global cues, with a lack of strong domestic triggers. Investors will closely monitor global market trends, crude oil prices, and institutional flows to assess further market direction.

The Nifty index declined by 0.44%, breaching its January low to reach 22,774.85 before recovering 154 points, forming a double-bottom pattern on the daily chart. A sustained close above the 23,000–23,100 zone could indicate a potential upside, while a failure to hold above 22,800 may lead to further declines toward 22,500. Broader market weakness was evident, as all major sectoral indices ended lower, with technical indicators suggesting continued bearish pressure.

Bank Nifty opened on a positive note but closed lower at 49,099, forming a red candle on both daily and weekly charts, signaling weakness. It held critical support at 48,700, with a breakdown below this level likely to push it towards 48,000. The index faces strong resistance at 50,000, limiting bullish momentum unless decisively breached. Currently, it remains in a consolidation phase with a bearish bias, requiring a breakout above key resistance levels to shift market sentiment. Traders should closely monitor price action around these levels for potential short-term opportunities.

On the institutional front, foreign institutional investors (FIIs) extended their selling streak for the eighth consecutive session, offloading equities worth Rs.4,294 crore on February 14. In contrast, domestic institutional investors (DIIs) remained net buyers, purchasing equities worth Rs.4,363 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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