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Will Nifty hold 8,000; this is what experts have to say

The coronavirus outbreak will continue to influence market performance, say experts.

March 31, 2020 / 02:08 PM IST

Indian markets started the week on a negative note, with the Nifty ending below 8,300 and the Sensex falling more than 1,300 points, tracking weakness in global markets as coronavirus cases continue to rise.

The market seems to have ignored a raft of measures announced by the RBI and the government last week. The RBI on March 27 announced a massive 75 basis points cut in repo rates and reverse repo rate, while Finance Minister Nirmala Sitharaman announced Prime Minister Gareeb Kalyan Scheme of Rs 1.70 lakh crore to support farmers and the poor.

If the Nifty fails to hold 8,200, then it will get into the sub-8,000 zone again, say experts.

On March 30, the Sensex closed 1,375.27 points, or 4.61 percent, down at 28,440.32 and the Nifty slipped 379.15 points, or 4.38 percent, to 8,281.10.

Bajaj Finance, HDFC, Kotak Mahindra Bank, Tata Steel and HDFC Bank were among major losers on the Nifty, while Cipla, Tech Mahindra, Nestle, Axis Bank and Dr Reddy’s Labs were the top gainers.


Except pharma and FMCG, all other sectoral indices ended in the red. BSE Midcap and Smallcap indices shed 1.7-2 percent.

Here is what market experts have to say about the Nifty:

Gaurav Ratnaparkhi, Senior Technical Analyst, Sharekhan by BNP Paribas

The hourly chart shows that the key hourly moving averages induced the bears for a fresh round of selling. Thus, the Nifty tumbled towards the hourly lower Bollinger Band. The bands are about to start expansion after a descent contraction. We are likely to witness a sharp fall going ahead. The overall structure shows that the Nifty is poised to get into the sub-8,000 zone once again.

Nagaraj Shetti, Technical Research Analyst, HDFC Securities

The short-term trend of Nifty is negative and one may expect this downward correction to extend for the next one-two sessions. The lower area of 8,000 is going to be crucial to expect higher bottom formation in the market.

In any case, the Nifty slips just below 7,511 levels (previous swing low of March 24), then there is a higher possibility of a formation of positive divergence pattern in Nifty/RSI-daily time frame chart. This anticipated action could be another reason to wait for an upside bounce from the new lows.

Rohit Singre, Senior Technical Analyst, LKP Securities

The Nifty has strong resistance around 8,550 and until the index is trading below it, we may see the current fall to continue towards 8,150-8,000. Traders should use the sell-on-rise strategy with keeping overall stop levels above 8,550 zone.

Shrikant Chouhan, Executive Vice President, Equity Technical Research, Kotak Securities

It would be difficult for the market to bounce back in the absence of any positive news flow regarding coronavirus. Technically, the Nifty closed below 8500, which is negative. We can expect further weakness if the Nifty breaks 8,200. Below 8,200, the Nifty could fall to 8,000 or 7,800 levels.

Disclaimer: The views and investment tips expressed by investment experts on are their own and not that of the website or its management. advises users to check with certified experts before taking any investment decisions.
Rakesh Patil
first published: Mar 30, 2020 06:02 pm
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