Bears seem to have kept tight control over Dalal Street, pushing the benchmark indices down by nearly one percent on September 28 ahead of the monthly expiry of futures & options contracts. The fall in global peers and consistent FII selling weighed on sentiment.
The BSE Sensex plunged 509 points to 56,598, while the Nifty50 fell 149 points to 16,859 and formed Doji kind of pattern on the daily charts, indicating indecisiveness among bulls and bears about the future market trends.
"Normally, such formation after a reasonable weakness calls for a pullback rally from the lows. But the overall market trend is still weak and there is no confirmation of any buying emerging from the lows," said Nagaraj Shetti, Technical Research Analyst at HDFC Securities.
He thinks the Nifty is now placed at the crucial support of 16,800 levels as per the concept of change in polarity. The said level has been a crucial value area in the past and has witnessed significant moves from its supports and its resistances in the past.
Having declined down to the support, there is a possibility of a minor pullback rally in the market from near 16,800-16,750 levels in the next 1-2 sessions. Immediate resistance is placed at 17,000 levels, the market expert said.
The selling pressure was also seen in broader markets as the Nifty Midcap 100 and Smallcap 100 indices fell 0.3 percent and 0.5 percent, respectively, while India VIX, the fear index, increased by 2.44 percent to 22.10 levels.
The BSE Sensex plunged 509 points to 56,598, while the Nifty50 fell 149 points to 16,859 and formed Doji kind of pattern on the daily charts, indicating indecisiveness among bulls and bears about the future market trends.
"Normally, such formation after a reasonable weakness calls for a pullback rally from the lows. But the overall market trend is still weak and there is no confirmation of any buying emerging from the lows," said Nagaraj Shetti, Technical Research Analyst at HDFC Securities.
He thinks the Nifty is now placed at the crucial support of 16,800 levels as per the concept of change in polarity. The said level has been a crucial value area in the past and has witnessed significant moves from its supports and its resistances in the past.
Having declined down to the support, there is a possibility of a minor pullback rally in the market from near 16,800-16,750 levels in the next 1-2 sessions. Immediate resistance is placed at 17,000 levels, the market expert said.
The selling pressure was also seen in broader markets as the Nifty Midcap 100 and Smallcap 100 indices fell 0.3 percent and 0.5 percent, respectively, while India VIX, the fear index, increased by 2.44 percent to 22.10 levels.
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