By Vineet Kumar 
Technical View: Nifty Breaches Key Levels on Trump’s Tariff Threat, May Test 23,240
The Indian equity market extended its losing streak for the fourth consecutive session on February 10, as US President Donald Trump’s fresh tariff scare weighed heavily on investor sentiment. The benchmark NSE Nifty 50 closed at 23,381.60, down 178.35 points or 0.76%, marking another weak day for the markets. Chartists believe the index could now test the next support level at 23,240, with resistance shifting lower to 23,465.
Market Snapshot: Broader Indices Take a Hit
The broader markets underperformed the benchmarks, with Nifty Midcap and Nifty Smallcap indices shedding 2% each. All sectoral indices ended in the red, with sharp declines in metal, media, pharma, consumer durables, energy, and realty sectors, down by 2-3%.
Key Drivers: Tariff Threat & Global Concerns
Trump’s announcement of additional tariffs on all steel and aluminum imports into the US sparked a global sell-off, and Indian equities were no exception. After a weak opening, the markets witnessed intensified selling pressure throughout the day.
Aditya Gaggar, Director at Progressive Shares, said, “With a strong bearish candlestick, the index has decisively broken through its key support level of 23,500, signaling a potential move towards 23,240. This bearish sentiment reflects the ongoing tariff-related trade war’s negative impact on global markets.”
Top Movers
Top Losers: Tata Steel, Titan Company, Power Grid Corp, ONGC, and Trent.
Top Gainers: Kotak Mahindra Bank, Britannia Industries, Bharti Airtel, HCL Technologies, and Tata Consumer Products.
Sectoral Trends
The metal and realty sectors bore the brunt of the sell-off, with investors pulling out amidst fears of reduced global demand due to the tariff hikes. Pharma, consumer durables, and energy sectors also witnessed significant declines.
Bank Nifty: Resilience Amidst Volatility
The Bank Nifty closed just below the critical 50,000 level, showing some signs of resilience despite the broader market weakness.
Anshul Jain, Head of Research at Lakshmishree Investments, commented, “The Bank Nifty successfully defended its intraday lows, signaling strength. A decisive move above the 50,200 CPR level in the coming session could spark a rebound, while the support at 49,700-49,800 remains strong.”
Technical Outlook
The Nifty’s breach of 23,500 has paved the way for further downside, with 23,240 emerging as the next crucial support. On the upside, any recovery will face stiff resistance at 23,465.
Investors are advised to remain cautious and closely monitor global developments, particularly the US tariff measures, which could continue to influence market sentiment.
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