New Delhi: Indian stock markets saw massive decline, in what could possibly be one of its worst falls, on Monday in line with the Asian peers. BSE Sensex declined 2,401.49 points to 78,580.46 in early trade while Nifty plummeted 489.65 points to 24,228.05 led by geopolitical tensions.
Asian stock markets suffered loses in early trade amid Bank of Japan’s rate hike and yen appreciation, and propelled by fears of US slipping into recession and the looming tension in Middle East due to the killing of Hamas political chief Ismail Haniyeh.
Japanese markets fell 20 percent from recent all-time highs. The Nikkei 225 index declined more than 1600 points or 4.85 per cent to 34,247.56.Taiwan Weighted index plummeted by over than 6 percent, Singapore too declined with the index Straits Times dropping around 3 percent.
Sameet Chavan, Head Research, Technical and Derivative – Angel One said, it is crucial to stay alert and monitor aberrations in the global landscape, that may adversely affect the overall sentiments and trends within the Indian stock market. He also cautioned investors to observe these developments thoroughly and diligently over the weekend to ensure well-preparednes in responding effectively.
“From a technical standpoint, the Nifty index continues to maintain a position above all its major Exponential Moving Averages (EMAs), with robust nearby support identified around the subzone of 24600-24500. Also, till Nifty remains above this level, there shouldn’t be any significant cause for concern for market participants. On the higher end, the bearish gap on the daily chart, around 24850-24950, is likely to act as intermediate resistance, followed by the psychological mark of 25000 in the near period. Moreover, a sustained breakthrough beyond this level is anticipated to catalyse the next series of rallies in the benchmark,” he added.
