Sensex, Nifty End Lower Amid Negative Cues

Sensex and Nifty extended their previous day losses amid weakness in Asian markets and sustained sell off in Banks and Financial counters on Wednesday, September 29. The Sensex index closed lower by 254.33 points at 59,413.27, while the Nifty-50 ended 37.30 points lower at 17,711.30. 

Experts tracking the technical factors in the market beleive that if the Nifty-50 index manages to hold above the 17,550 - 17,600 levels, the index can bounce back higher to hit 18,000 in the short term. 

Ashis Biswas, Head of Technical Research, CapitalVia Global Research, said, " It is going to be crucial for the short-term market scenario to sustain above the 17550-17600 Nifty50 Index support zone. If the market is able to sustain the level of 17550-17600, Market can witness higher levels of 18000."

Shares of HDFC, Asian Paints, Kotak Mahindra Bank, UltraTech Cement, and Tech Mahindra were the top losers in the 30-share pack Sensex as the stocks declined over a per cent each in the intraday session on Wednesday. 

Overall, only 12 scrips advanced against 18 scrips in red in the BSE index. On the flipside, NTPC and Power Grid Corporation jumped over six per cent each. 

However, the broader market showed some positive moments amid weakness in the headline indices. Both BSE Midcap and Smallcap indices closed higher around half a per cent each. 

Shares of Oil India and Tata Power gained over nine per cent each in the Midcap space, while those of PTC India and Max Ventures jumped 13 per cent each in the Smallcap space. 

Banks, Auto, and FMCG stocks closed in the red while all other sectors saw buying interest in the late trade. The PSU Bank and Metal counters gained over two per cent each, while the realty and energy gained over a per cent each. 

Overall, 1830 shares advanced, 1371 shares declined, and 151 shares were unchanged in the markets today. 

Moving further, the markets tomorrow are expected to continue their muted momentum amid expiry of F&O contracts tomorrow. 

Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities, said, "In the run up to monthly F&O expiry the market may continue with the narrow range activity. For day traders, 17800 -17850 would be the key resistance level while 17625-17590 could act as a strong support."

Ruchit Purohit

BW Reporters The author is a Trainee Journalist at BW Businessworld based in Mumbai. He tracks the Markets and related news.