Small and midcap space drags down market sentiments


Mumbai, March 15 (IANS): Cautiousness towards mid and smallcaps continued to drag the market sentiments down, Vinod Nair, Head of Research at Geojit Financial Services, said on Friday.

However, the moderation in global commodity prices and the upward revision of India's GDP for FY25 are poised to highlight robust domestic demand, potentially supporting a rebound once the broader market attains stability, Nair said.

“We anticipate continued bargain opportunities in mid and smallcap stocks, whose valuations are underpinned by strong fundamentals," he said.

The Nifty indicators suggest bearish momentum in the near term.

Rupak De, Senior Technical Analyst at LKP Securities, said the Nifty has once again closed below the rising trendline, bringing market sentiment back into a state of weakness.

Immediate support is situated at the 50-day moving average (DMA), currently at 21,900, which is expected to provide support for the Nifty.

A decisive drop below 21,900 could lead to a sharp decline in the index. On the upside, resistance is observed in the range of 22,200-22,250, he said.

"The BankNifty index witnessed a volatile trading session, forming a doji candle that signals indecision in the market. Immediate resistance for the BankNifty index lies at 47,000, coinciding with the 20DMA," said Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities.

A decisive break above this level could propel the index higher towards the 47,500 mark.

On the flip side, the lower-end support is positioned at 46,500-46,300, where the bulls are currently attempting to defend. However, a breach below this level may intensify selling pressure in the market, Shah said.

While the Nifty 50 closed the day at 22,023.35, down 123 points, or 0.56 per cent, the Sensex ended with a loss of 454 points, or 0.62 per cent, at 72,643.43.

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Title: Small and midcap space drags down market sentiments



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