Street signs: Nifty50 undertone still bearish, apparel retailers may gain

Nifty50 undertone still bearish

Despite volatility, the Nifty50 last week managed to close above the psychological 17,000-mark. The index is still holding at a lower top formation, which indicates medium-term weakness, according to analysts. A move below 16,900 could result in a faster decline in the coming week, while a breach of 17,118-17,155 levels could result in better momentum on the upside. “The markets will continue to see volatility and whipsaw-like movements as they respond to Omicron-related developments and the monthly expiry. The week may see sectoral rotation, with beaten-down industries gaining traction,” said Yesha Shah, head of equity research, Samco