Daily Markets - Nov 25, 2020 - Mr. Deepak Jasani, Head of Retail Research, HDFC Securities

Indian equity benchmark indices came under huge selling pressure on Nov 25 after three day gaining streak and ended deep in the red. At close Nifty ended down at 12,858.40, falling 196.75 points or 1.51 percent.

Nifty opened up but ran into two bouts of selling pressure at 1000 Hrs and later at 1340 Hrs. These were in line with selling spree in Asian and European markets. Volumes on the NSE were in line with that of the previous session. Among sectors, PSU Bank index ended in the positive, while Realty, Banks, Telecom, Pharma, IT and Auto indices were main losers.

Global Markets paused for breath after opening steady after yesterday's global 'melt-up,'. Markets may struggle to rise from here ahead of tomorrow's Thanksgiving holiday in the US and Gurunanak Jayanti holiday in India on Monday, with a further uplift in month-end selling pressure now expected.

The European Central Bank (ECB) on Wednesday warned that European banks will not see profits return to pre-pandemic levels before 2022.

Nifty has witnessed formation of a bearish engulfing top after a sustained rise. Nifty 12730-12745 could be the support for the near term while 12934-12948 could be the resistance. Nifty could face selling pressure on rises from hereon for the next few days.

Source : Equity Bulls

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