Where are markets headed after Nifty tests major support of 23,800 today? Check key levels for tomorrow

The sharp rise in volatility indicates market swings may remain elevated in the near term as India VIX rose 26%.

 

The equity benchmark indices Sensex and Nifty logged their sharpest single-day fall in more than three months on Wednesday after U.S. President Donald Trump said the peace accord with Iran was “over”, triggering a surge in crude oil prices.

 

After opening with a gap-down, the Nifty remained under pressure throughout the session as broad-based selling in heavyweight shares kept the index on the back foot. It ended near the day’s low at 23,882.05, down 516.65 points or 2.12 percent.

 

The Sensex plunged 1,677.12 points, or 2.15 percent to settle at 76,503.60. During the session, it dropped 1,921.69 points, or 2.45 percent to hit 76,259.03.

 

Commenting on the market outlook, Ajit Mishra, SVP, Research, Religare Broking, said the Nifty has slipped decisively below the key support zone of 24,000-24,150 and fallen below its major moving averages, weakening the near-term technical structure.

 

“The next crucial support is placed in the 23,650-23,800 zone, while any rebound is likely to face stiff resistance in the 24,150-24,300 region,” he said.

 

Mishra added that the sharp rise in volatility indicates market swings may remain elevated in the near term. India VIX, the market’s fear gauge, rose 26 percent.

 

Sudeep Shah, Head – Technical and Derivatives Research at SBI Securities, said the immediate support for the Nifty is placed in the 23,780-23,750 zone.

 

“Any sustainable move below this zone could result in the Nifty extending its weakness towards 23,600, followed by 23,450 in the short term. On the upside, the immediate resistance for…