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We expect any bounce back to be mild and short-lived since any retracement will be utilized by lead players who will further jump and cap upside.The Nifty gave a decisive breakout of a Flag pattern that was in place for a month, coupled with negative domestic cues that aided the sentiments of bears.
After a month, consolidation came to an end with this breakout as Nifty hits a fresh low of 2018 and closed at the lowest level in 10,249 on Tuesday. The Bank Nifty followed the path with a decisive break and ending down at 24,448 after hitting a low of 24,362.
A lot of cues, fundamentally or economically, affected the market and primary bulls in the last few weeks. It started off with the global sell-off, correction, and as soon as Nifty was trying to form a base, we witnessed a Banking scam which is widespread to other banks tanking the PSU bank Index more than 20 percent.
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