Dalal Street opened with losses for the six straight session on Friday, September 26, extending its longest losing-streak in six months as U.S. President Donald Trump's latest tariffs, along with persistent FII selling, weighed on investor sentiment.
At 09:45 a.m., the Sensex was down 333.96 points or 0.41 percent at 80,825.72, and the Nifty was down 89.10 points or 0.36 percent at 24,801.75. About 884 shares advanced, 2262 shares declined, and 151 shares unchanged.
All the sectoral indices also traded in the red, with the pharma sector leading losses to fall 2.3 percent at open, after U.S. President Donald Trump announced a 100 percent tariff on imports of branded or patented drugs from October 1, unless the manufacturer is setting up a production facility. The healthcare index, PSU Bank index, and IT index fell up to 2 percent as well, with the other sectors recording losses between 0.2-0.8 percent, respectively.
In the previous session, FIIs sold 4,995 crore in the cash markets and Rs 24,455.20 crore so far in September.
"Sentiments at Dalal Street remain fragile, pressured by three big negatives: Trump’s steep tariffs and H-1B visa fee hike, Powell’s stagflation fears, and the rupee’s tumble to a record low of 88.70. With the RBI policy outcome on 1st October and Q2 earnings season around the corner, caution remains the buzzword," said Prashanth Tapse, Senior VP (Research), Mehta Equities.
On the technical front, Nifty’s broader structure has clearly tilted into a cautious stance, with the index closing below its psychological level of 25,000 for the first time in weeks. Five consecutive sessions of lower closes, combined with a visible pattern of lower highs on the daily chart and sustained trade beneath key moving averages, underline a weakening trend.
"What was once a strong support zone has now flipped into a resistance barrier, with call writers turning more aggressive at at-the-money strikes and put writers retreating to lower bases. This shift reaffirms that the upside is likely to stay capped," said Dhupesh Dhameja, Derivatives Research Analyst, SAMCO Securities.
He added, as long as the index remains under the 25,050–25,000 resistance band, sellers are expected to retain the upper hand. A decisive break-down below 24,800 could unlock further downside toward 24,620, keeping the near-term outlook sideways to bearish.
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