Mumbai, Dec 18 (IANS): The market started on a subdued note on Monday as concerns over oil supply disruptions through the Red Sea and elevated valuations dented investor sentiment, said Vinod Nair, Head of Research at Geojit Financial Services.

The benchmark indices ended in the red on Monday. At close, Nifty was down 38.00 points or 0.18 per cent at 21,418.70, while Sensex was down 168.66 points or 0.24 per cent at 71,315.09.

On the global front, attention will be directed towards Bank of Japan (BOJ) monetary policy and UK inflation data.

“We expect a near-term consolidation in the market due to an unfavourable risk reward after the recent rapid performance, concerns over El Nino, and a slowdown in world GDP," Nair said.

Rupak De, Senior Technical Analyst at LKP Securities, said on the daily chart, Nifty has formed a pattern suggesting a potential interruption in the ongoing rally.

Additionally, the RSI indicator on the hourly timeframe has undergone a bearish crossover within the oversold zone, hinting at a waning bullishness in the market, he said.

A decline below 21,350 could lead a correction towards 21,220/21,100 in the short term. Conversely, resistance is anticipated at 21,500 on the higher end, De added.