Indian Share Market Under Pressure Due to Weak Global Markets. FIIs sold ₹4,788 crore, while DIIs bought ₹8,790 crore. Nifty 22,000 and Sensex 72,800 are key levels for investors.
Share Market Today: Weak signals from global markets suggest a potential decline in the Indian share market on Tuesday (March 4th). At 8:00 AM, GIFT Nifty futures were trading at 22,094, down 33 points, indicating a bearish market sentiment.
Monday's Market Performance
The domestic share market closed with a slight decline on Monday (March 3rd).
- Sensex closed at 73,086, down 112 points or 0.15%.
- Nifty closed at 22,119, down 50 points or 0.02%.
- In the broader market, Nifty Midcap 100 gained 0.14%, while Nifty Smallcap 100 lost 0.27%.
FII-DII Investment Trend
Foreign Institutional Investors (FIIs) sold a net ₹4,788.29 crore on Monday, increasing market pressure. Conversely, Domestic Institutional Investors (DIIs) purchased shares worth ₹8,790.70 crore, offering some support to the market.
Market Outlook for Today?
According to Srikanth Chauhan, Head of Equity Research at Kotak Securities:
- 22,000 for Nifty and 72,800 for Sensex will be crucial support levels.
- Levels above 22,200/73,400 will act as resistance.
- If the market crosses 22,200/73,400, an upward movement towards 22,250-22,300 / 73,500-73,800 can be expected.
- In case of a decline, if the market falls below 22,000/72,800, investors might exit their long positions.
Global Market Conditions
The American share market witnessed a decline on Monday, which could put pressure on the Indian market.
- S&P 500 fell by 1.76%.
- Dow Jones fell by 1.48%.
- Nasdaq fell by 2.64%, primarily due to an over 8% decline in Nvidia's share price.
Impact of International Factors
Rising tensions over tariffs between the US and Canada have increased uncertainty in the global market. US President Donald Trump has announced increased tariffs on Canada and Mexico starting Tuesday, which could impact international markets. In response, Canada has also announced the immediate imposition of 'retaliatory' tariffs on the US.
Strategies for Investors
1. Monitor support and resistance levels – Trade by focusing on key Nifty and Sensex levels.
2. Keep an eye on global market trends – The performance of the US and other major markets can influence the Indian market.
3. Monitor FII and DII trends – If FII selling continues, further market pressure can be expected.
4. Long-term investors need not worry – A market decline could present opportunities to invest in b companies.
