Indian equity market settled in negative territory today, snapping a winning streak of six sessions, pulled down by IT and PSU bank stocks on the last day of January series futures and options contracts. The Nifty50 index shed 16.35 points or 0.15 per cent to settle lower at 11,069.65 today, while the BSE Sensex retreated 111.20 points or 0.31 per cent to close down at 36,050.44 today. Out of 50 stocks of the Nifty50 index, 26 fell and 24 advanced.
Benchmrk indices ended lower today, snapping a six-day record-setting rally, as profit-taking hit IT stocks while large state-run lenders slid as they stood to receive less money than expected from a government recapitalisation plan. Overall sentiment was cautious as investors awaited the annual budget for the fiscal year starting in April to be unveiled a few days later on Feb 1. Expiry of monthly derivative contracts at the end of the session, after indexes hit record highs in each of the six previous sessions, also kept sentiment in check.
The Nifty50 snapped a six-day winning streak today to settle the January series futures & options contracts at 11,069 after positive close for six consecutive sessions. During the session, the index formed a Hanging Man pattern on the daily chart, while making sure it holds on to the 11,000 mark, which is seen as an immediate support for the index. This chart pattern suggests exhaustion in the market. Now, the index has to decisively move above 11,111 level to extend the rally towards 11,200-11,250 levels, but if it holds below 10,990, it could see a decline towards the 10,888 level.