Taking Stock: Bear attack continues for 3rd day; Nifty below 22,700, Sensex down 460 points
The Indian rupee snapped its eight-session gaining streak and fell 36 paise to close at 94.82 per dollar.
Indian benchmark indices ended lower for the third consecutive session on October 22, with the Nifty slipping below 22,700 as escalating geopolitical tensions pushed crude oil prices above $110 per barrel. Amid weak global cues, the market opened lower and remained in negative territory for most of the session. The Nifty fell below 22,600 intraday amid broad-based selling across sectors, but recovered from the day's low of 22,554.85 to close above 22,650.
At close, the Sensex was down 460.30 points or 0.62 percent at 73,249.39, and the Nifty was down 123.70 points or 0.54 percent at 22,687.65. The broader markets continued to underperform the benchmark indices, with the Nifty Midcap and Smallcap indices declining around 1 percent each. Biggest Nifty losers were Nestle India, Tata Motors Passenger Vehicles, HDFC Life, Tech Mahindra, Reliance Industries, while gainers included Bajaj Finance, Cipla, SBI, Bajaj Auto and ICICI Bank.
All the sectoral indices ended in the red with Auto, Consumer Durable, Oil & Gas, Information Technology, Energy and FMCG down 0.5-1.7 percent, while Media index shed 2.3 percent. Among individual stocks, Indosolar shares slipped 2 percent as Q2 profit declined 89%, while Rajratan Global Wire share price shed 11 percent despite better earnings. Among other stocks, Mahindra and Mahindra Financial Services share price fell 3 percent despite reporting 54.8% profit surge and KEI Industries share price declined 9 percent despite profit rises 29%.
Share price of Indian Hotels Company rose 4 percent on better Q2 earnings, while PC Jeweller shares shed nearly 3 percent despite Q2 profit rises 58%. The Indian rupee snapped its eight-session gaining streak on October 22, failing to sustain opening gains and falling 36 paise to close at 94.82 per dollar, compared with the previous close of 94.46. More than 480 stocks touched 52-week low, including CreditAccess Grameen, MM Financial, SRF, Swiggy, Garden Reach Shipbuilders, Mazagon Dock Shipbuilders, Bombay Burmah, Vishal Mega Mart, UTI AMC, Kama Holdings, SBI Life Insurance, Avenue Supermarts, Power Grid Corporation, Max Healthcare, NAVA, TMPV, Finolex Industries, Lupin, Colgate-Palmolive and Fortis Healthcare, among others.
Click to View More Shares of Fusion CX ended with marginal gains at Rs 291 after a positive debut with a premium of 5.54 percent at Rs 305 on the National Stock Exchange (NSE) over the initial public offering (IPO) price Rs 289 per share. Outlook for October 23 Ajit Mishra, SVP – research, Religare Broking Markets remained under pressure on Thursday, extending their decline for a third consecutive session amid elevated crude oil prices and escalating geopolitical tensions.
After opening lower, the benchmark indices witnessed volatile trading, with intermittent buying from lower levels offering only limited relief. Consequently, the Nifty declined by over half a percent, reflecting continued weakness in market sentiment. On the sectoral front, selling remained broad-based, with FMCG, IT and energy emerging among the major laggards. Broader markets continued to underperform, with both midcap and smallcap indices declining by around 1% each.
The sustained weakness across market segments highlighted heightened risk aversion and persistent selling pressure beyond frontline stocks. Global and domestic macroeconomic concerns continued to weigh on sentiment. Brent crude moved higher towards $113 per barrel amid escalating tensions in the Middle East, raising concerns over imported inflation and corporate margins. Recent developments have also heightened uncertainty around the interest-rate outlook, while mixed global cues and persistent foreign fund outflows continued to dampen risk appetite.
On the index front, the Nifty’s sustained weakness has further undermined the near-term outlook. The 22,200–22,400 zone remains the key support area, while 22,900 is likely to act as immediate resistance. A sustained move above this level would be necessary to improve market sentiment and signal a meaningful recovery. Given elevated crude prices, geopolitical uncertainty and persistent weakness in broader-market participation, investors should maintain a cautious stance, focus on selective stock-specific opportunities and follow disciplined risk management.
Vatsal Bhuva, Technical Analyst at LKP Securities Nifty managed to close above its 200-WMA following the CAS session; however, the overall sentiment and price structure remain weak. The index faced strong selling pressure near its 20-DMA and failed to sustain above this crucial resistance zone. Long positions accumulated during the mean reversion rally should be reviewed if the index closes below 22,600 and its 200-WMA.
On the upside, immediate resistance is placed at 22,800 (20-DMA zone) and 23,000, while 22,600 remains a crucial support. A cautious, level-based trading approach is advisable.
