IT shares, RIL, F&O expiry send Sensex 610 pts down, Nifty near 19,500

Closing Bell on September 28, 2023: Tech M, which sank 4 per cent, was the top laggard on the benchmarks after Morgan Stanley downgraded the stock to 'underweight'

SI Reporter New Delhi

Image: iSTOCK

Stock market highlights: Bears took over Dalal Street in the later half of the session amid the monthly derivatives (F&O) expiry, rising crude oil price, and weakness in IT shares.

The S&P BSE Sensex crashed 610 points, or 0.92 per cent, to 65,508 levels, while the Nifty settled at 19,524, down 193 points or 0.98 per cent.

Tech M, which sank 4 per cent, was the top laggard on the benchmarks after Morgan Stanley downgraded the stock to 'underweight'.

That apart, Asian Paints, LTIMindtree, Divis Labs, Britannia Industries, Wipro, M&M, HDFC Life, Apollo Hospitals, Kotak Bank, Hindalco, Titan, Infosys, ITC, Bajaj Finserv, Nestle, IndusInd Bank, HUL, RIL, HCL Tech, Tata Consumer Products, and TCS fell in the range of 1 per cent to 3.6 per cent.

Losses in the broader markets varied with the BSE MidCap index underperforming the frontline indices and sliding over 1 per cent, but the BSE SmallCap index lost 0.34 per cent. Volatility index, India VIX, soared 11 per cent.

The broad-based losses were led by the Nifty IT index (down 2.2 per cent), the Nifty FMCG index (down 1.9 per cent), and the Nifty PSU and Metal indices (down around 1 per cent each).

4:06 PM

Tech View :: Key levels to watch on Bank Nifty

The Bank Nifty witnessed a resurgence of bearish sentiment as the bears took control, pushing the index lower. Strong resistance has formed at the 20-day moving average (20DMA) located at the 45,000 mark.The immediate support on the downside is situated at 44,200, and a breach below this level could trigger further selling pressure, potentially taking the index down to the 43,800 mark. In this scenario, it's advisable to maintain a "sell on rise" approach as long as the index remains below the 45,000 mark.

Views by: Kunal Shah, Senior Technical & Derivative analyst, LKP Securities

4:05 PM

Tech View :: 'Prevailing sentiment favours sell-the-rally approach'

The Nifty has experienced a significant correction as it was unable to maintain levels above 19,750. On the daily timeframe, the most recent candle has engulfed the bodies of the preceding few days' candles, which suggests a negative sentiment. The prevailing sentiment continues to favor selling during rallies. Looking ahead, the Nifty may decline towards 19,250, with immediate support situated at 19,450. Resistance is positioned at the higher end at 19,600.

Views by: Rupak De, Senior Technical analyst, LKP Securities

4:03 PM

Comment :: 'Expect Nifty to hit 19,400'

The prevailing weakness in heavyweights across sectors combined with feeble global cues is weighing on the sentiment. After the failed attempt to reclaim 19,750, we expect Nifty to inch further lower and test 19,400; however the major support is at 19,200. Participants should align their trades accordingly and focus more on risk management.

Views by: Ajit Mishra, SVP - Technical Research, Religare Broking

4:02 PM

Comment :: 'Rising oil prices, bond yields keeping FPIs away'

The selling was broad-based, as investors are on alert given the rise of oil prices. If crude continues to stay above the 90 USD level, it will be a threat to inflation and boil the operational margins. Globally, US GDP data and the FED chief speech will be watched carefully, which will set the future trend. Currently, the combination of higher interest rates and US bond yields are influencing FIIs to stay in the selling mode.

Views by: Vinod Nair, Head of Research at Geojit Financial Services

3:58 PM