Tuesday's market was highly volatile, with declines observed across nearly all sectors. The benchmark Nifty index traded within a 500-point range intraday, while the banking index experienced a 1,200-point wide range. Recent trends suggest a cooling off in market prices. However, Nifty is expected to retest Tuesday's lows in the coming days. The Union Budget 2024 was disappointing for several sectors, including the mobile sector, and failed to offer relief to those in the highest tax bracket or any major benefits to the middle class.
"Furthermore, despite its broad scope, the budget did not reduce GST for basic amenities and daily consumer goods," said V.L.A. Ambala, a SEBI-registered Research Analyst and Co-founder of Stock Market Today (SMT). "The reduction in customs duty on gold will benefit jewellery companies. However, the rise in STT and changes in long-term and short-term capital returns are unfavorable for active market participants, adding pressure to investors and traders. Nevertheless, the government will continue to prioritize advanced technologies, green energy, and trade corridors this year."
For the Nifty index, Ambala predicts key support levels for today's trading session to be between 24,050 and 24,030, with resistance likely between 24,650 and 24,720. For the Bank Nifty index, key support levels are expected to be between 51,150 and 50,950, with major resistance points at 52,000 and 52,380.
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