Bank Nifty faces downside pressure; short covering expected in auto and pharma: Shivangi Sarda
«23,000 is a support level that we are looking at and on the upside 23,500 is the resistance that we are looking at. Although if it fails to hold 23,000, we could see a more downside move towards 22,650 levels. Now, this is the range and the band coming out for Nifty,» says Shivangi Sarda, Motilal Oswal Financial Services.
Give us a sense of what you are making of the market move right now because after seeing a continuous series of red, whatever little recovery we are seeing on the markets, do you think this is here to stay, this is sustainable and even though it is inch by inch, do you think we are out of the danger now?
Shivangi Sarda: So, we have seen that there has been some sort of a pullback move, but of course, it is the Sankranti effect. We have seen that there has been some stability around 23,000 zones. But then again, we will have to see how sustainable these levels are because we have still not managed to cross its previous day's high.
We are trading in the range of the previous session itself. Of course, there has been a sharper recovery in Bank Nifty as compared to Nifty, but then heavyweights have not been supporting that much in the entire broader market.
So, overall, of course, there is a short covering move and a quick pullback move but pressure will remain and till the time India Vix does not cool off below 14 levels, there will be a tug of war between the bulls and bears.
So, volatility will contain and one needs to fasten their seatbelts to be able to tackle this volatility and the swings
