NIFTY50 slips 200 points, SENSEX falls below 81,000; Here's how key indices are placed on charts; check details

NIFTY50 and SENSEX witnessed heavy selling pressure on Thursday amid broad-based profit booking in the Indian markets. Indian markets continued their downward trend in the early afternoon session with growing concerns over the US economy. Traders were worried as the US House of Representatives Rules Committee voted to advance President Donald Trump's sweeping tax cut, setting the stage for a vote on the House floor.

NIFTY50 traded at 24,600 levels, down over 200 points with 43 stocks trading in red and 7 in green at 3:00 pm. Similarly, the SENSEX traded over 650 points lower at 80,923 levels with 3 stocks out of 30 trading in green and 27 in red.

The broader indices were trading mixed; the BSE Mid cap index declined 0.41%, while Small cap index was up by 0.14%.

Here’s how key benchmarks and broader indices are placed on charts after the recent fall.

NIFTY50

NIFTY50 crossed the previous swing high resistance of 24,800 levels to touch 25,116 levels, showing bullish momentum. However, for the past few trading sessions, the index has shown a pullback to the support zone of 24,600 to 24,800. Experts believe the index found support at the 21 EMA levels of 24,468 for the near term.

SENSEX

The 30-share SENSEX index hit a new swing high of 82,718 levels, consolidating in the range of previous swing high levels of 82,000 to 82,200. The recent pullback of nearly 2000 points from the recent swing high levels indicates a profit booking at higher levels. Similar to the NIFTY50, the index found support at 80,638 on Thursday. Experts believe the index should close above today’s swing high level of 81323 for the rally to resume.

NIFTY midcap 100

The broader index of the top 100 midcap companies showed strong resilience as compared to its benchmark peers. The index closed at 56,324, lower by 294 points or 0.52%. Similarly, the index holds support at the 21 EMA level of 55,036. On the upside, the index continues to face the resistance of the lower high trendline from the record high levels. A daily and weekly closing above the trendline would give room for next leg of rally to the index.

NIFTY smallcap 100

The small-cap 100 index currently trades 11% lower than the record high levels. The index witnessed the sharpest correction from the record high levels and equally sharp bounceback from the lower levels in less than 6 months. The index looks well placed for sustained momentum as 20 EMA is expected to cross 200 EMA giving a positive outlook for the index.