The intraday decline in the Nifty 50 index was severe, pushing the index under the critical 50-day EMA, noted analysts.
“In the short term, the index is likely to remain under selling pressure as long as it trades below 24,850,” stated Rupak De, senior technical analyst at LKP Securities.
Technically, a decisive move above 24,850 could open the way for an upside toward 25,000 and 25,150, according to Amruta Shinde of Choice Broking. On the downside, immediate support is seen at 24,670, followed by 24,500, both of which are likely to be attractive levels for fresh long positions, Shinde added.
The index formed a long bearish candle on the daily charts and is holding a lower top formation on intraday charts, which is largely negative, said Shrikant Chouhan of Kotak Securities.