The geopolitical tension between Russia and Ukraine took center stage in the week gone by as military operations by Russia spooked investor sentiments.
The key reason behind the massive stock market fall was the military action against Ukraine by Russia where a sharp rise in crude oil prices and F&O expiry provided more power to bears in the Indian market.
It took support at 16,200 levels and then witnessed a smart pullback however 16,900-17,000 area is a critical resistance zone because it is placed at 200-DMA.
“Banknifty has also surrender 200-DMA while 35,000 is an immediate and psychological support level while 34,250-34,000 is the next critical support zone.
Prevailing geopolitical tension would continue to take the centre stage and will be the major force guiding the direction of the market and sentiment of the investors globally.
Some analysts say it is a perfect opportunity for investors to accumulate downtrodden shares as well.
“The looming uncertainty over the geopolitical tension combined with the rising crude would keep the participants on the edge in the following sessions.