The Nifty 50 witnessed a gap-down opening and sustained its sharp downtrend for the third consecutive session, falling nearly 1 percent on September 9 as technical and momentum indicators weakened further. The index decisively broke below the July low of 23,606 and ended below the lower Bollinger Band for another session. All key moving averages are now sloping downward, indicating that bears are gaining strength.
Momentum indicators also aligned with the decline, with the RSI entering oversold territory after falling to 26.44. The MACD remained well below the zero line, while the red histogram bar expanded for the third consecutive session, pointing to further deterioration in momentum.
On the fundamental front, Brent crude oil futures surpassed the $100-a-barrel mark on Wednesday amid the ongoing Middle East conflict and were close to the July high at the time of writing, raising concerns over inflationary pressures. Meanwhile, the US 10-year Treasury yield continued to trade firmly above the 4.8 percent mark.
Against this backdrop, experts expect the Nifty 50 to first target 23,300, followed by 23,070—the June low—which could act as a key support level in the near term. On the upside, the 23,500–23,600 zone could act as an immediate resistance area, followed by 23,800.
The Nifty 50 opened more than 100 points lower and remained under pressure throughout the session. The index ended at the day's low of 23,431.5, down 204 points, or 0.86 percent, and formed a bearish candle with a minor upper wick on the daily chart, indicating a failed recovery attempt and continued selling pressure.