Nifty 50 Falls for Second Consecutive Session

The Nifty 50 declined nearly 1% on March 12, extending selling pressure as the lower high–lower low structure remains intact with weakening momentum indicators and moving averages trending down. The index opened at 23,675 and touched an intraday low of 23,556, before closing at 23,639, down 228 points (0.95%).

Market Sentiment

Risk-off sentiment persists, driven by concerns over inflation and gas supply constraints following volatility in Brent crude oil prices, which hit $100 a barrel amid fresh attacks on oil-shipping vessels. This has resulted in ongoing Foreign Institutional Investor (FII) outflows.

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Technical Analysis

The next support for the Nifty 50 is placed at 23,500, coinciding with the 61.8% Fibonacci retracement of the April 2025 low to the January 2026 high. If the index breaks this support, a fall toward 23,200 cannot be ruled out, which is the higher end of the bullish gap of April 15, 2025. Below it, 22,700 can act as a support.

Resistance Levels

On the higher side, 23,800–24,000 can be the immediate hurdle zone, according to experts. The index will need to convincingly reclaim key resistance levels to alleviate the bearish undertone.

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Indicator Perspective

Moving averages and momentum-based indicators continue to suggest a bearish undertone, indicating that the short-term trend remains under pressure.

Bank Nifty

The Bank Nifty also fell, down 635 points (1.14%) to 55,101, forming a small-bodied bullish candle with long upper and lower minor shadows on the daily timeframe. The index closed below the crucial support level of 55,300, indicating strong bearish control. Key moving averages and momentum indicators continue to signal a bearish bias, suggesting a downward move toward the 54,500–54,200 levels.

India VIX

The India VIX, also known as the fear index, remained above the 21 zone, rising 2.16% to the 21.52 level, increasing concerns for bulls.