Indian benchmark indices continued to decline following a flat start on January 2 due to volatility and new worries about the disruptions in the Red Sea. The Nifty was down 150 points at 21,583 and the Sensex was down 585.97 points, or 0.81 percent, at 71,685 at 10:45 a.m.
A little over 1141 shares rose, 2030 shares fell, and 88 shares remained unchanged.
The BSE Midcap and Smallcap indices also saw a 1% decline in trading in the wider markets. With the exception of Nifty Pharma, every other sector saw negative trading.
Volatility was the prevailing theme in the market, as demonstrated by Nifty’s trading activity. According to Prashanth Tapse, senior vice-president of research at Mehta Equities Ltd., “the market anticipates volatility, influenced by factors such as the surge in Covid-19 sub-variant JN.1 cases in India, FOMC minutes on January 4, and US NFP figures later in the week.”
With a stop loss at 21,301 and goals at 21,900 and 22,100, including aggressive targets at 22,500–22,750, Tapse advised buying the Nifty at the present market price.
In the same way, he said, buying Bank Nifty at the current market price with a stop at 47,601 and aggressive objectives at 49,501–50,000 is advised, with targets at 48,636 and 49,000.