Tech view: Markets likely to open weak

After a bearish last week, the markets are likely to open on a negative note owing to weak global cues. The US markets ended with deep cuts on Friday. The Dow shed 2%, and the Nasdaq slipped 3%.

The Sensex may seek support around 16,615, below which the losses may extend up to 16,440-16,305-16,175. As long as the 16,615 holds, there would be hopes for the markets to bounce back. In case of a pullback, the index is likely to face considerable resistance around 17,100.

The NSE Nifty may find support around 4,980-4,950, below which the index is likely to slip towards 4,905-4,865-4,825. On the upside, the index is likely to face resistance around 5,090-5,125.

As most of the stocks have corrected sharply in the recent past, it makes sense to take some contradictory buy at current levels, rather than get stuck in a short position at lower levels.

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