Mr. Deepak Jasani, Head of Retail Research, HDFC Securities
Nifty fell sharply on Jan 25 after short seller Hindenburg raised concerns over the Adani group's debt position. At close, Nifty was down 1.25% or 226.4 points at 17891.9. Volumes on NSE were higher than recent average, but lower than the usual volumes on monthly F&O expiry day. Smallcap index fell less than the Nifty though the advance decline ratio fell to 0.34:1.
Asian equities scaled their highest levels in seven months on Wednesday after some regional markets reopened after holidays, betting on a Chinese economic recovery this year. European equities were subdued on Wednesday, as investors mulled over fresh corporate earnings.
Nifty seems to have given a fresh breakdown. 17761-17774 band is the immediate support for Nifty below which the downtrend could accelerate. On upmoves, 18145 could prove to be a resistance.