Nifty Midcap index dips below 200-DMA; remain on sidelines, analysts advise

The breach of a critical level after a period of nearly 10 months reflects a shift in sentiment. The overall trend remains bearish as the index is making lower top, lower bottom on the technical chart

The Nifty Mid-cap index closed below the 200-day moving average (DMA) on Friday for the first time since April 2022 and continued to slide in trade on Monday. The index hit an intra-day low of 29,631 levels on Monday and skidded around 1.2 per cent as compared to 0.7 per cent fall in the Nifty50 index during the day.

The breach of a critical level after a period of nearly 10 months reflects a shift in sentiment, analysts said. The 200-DMA – placed at 30,189-mark – has now become the immediate hurdle for the index and technical charts point to