Impact of Global Selloff on Domestic Market Sentiments

New Delhi, March 11 (IANS) Continued selloff in global markets due to uncertainty over rate cuts has impacted the domestic market sentiment, leading to a decline in the Nifty 50 and Sensex. The stronger-than-expected US nonfarm payroll data and caution ahead of the US inflation data release are keeping investors on edge.

According to Vinod Nair, Head of Research at Geojit Financial Services, the Nifty 50 closed at 22,332.65, down 160.90 points, while the Sensex ended at 73,502.64, down 616.75 points. The broader market is experiencing underperformance due to valuation concerns, leading investors to rebalance portfolios by including safe-haven assets like gold.

Rupak De, Senior Technical Analyst at LKP Securities, mentioned that the Nifty is fluctuating within an ascending channel, showing higher highs and higher lows. The overall trend remains bullish, with a current corrective phase. In the short term, the Nifty could weaken, possibly falling towards the range of 22,200-22,250, with immediate resistance at 22,400.

Meanwhile, Kunal Shah, Senior Technical and Derivative Analyst at LKP Securities, noted that the Bank Nifty index is facing strong resistance at higher levels, leading to a downside move. Immediate support is at 47,000-46,800 levels, and a close below this range could increase selling pressure. To continue the uptrend towards all-time highs, the index must exceed the 47,700 mark.