Tech view: Markets below key supports

Significant weakness in the second half of yesterday saw the markets break crucial support levels as the day progressed. The BSE benchmark index, the Sensex, slipped below 17,260 and went on to touch a low of 17,102. The index finally settled with a loss of 249 points at 17,137.

Among the index stocks - Hindalco slumped almost 6% to Rs 163, and Tata Steel tumbled 5% to Rs 579. Sterlite, Grasim, Jaiprakash Associates, ACC, Bharti Airtel, ICICI Bank and Larsen & Toubro were the other major losers.

The Sensex now has a near support at 17,080, which is the monthly support. A break of this particular level could mean further weakness up to 16,700-16,200 during the month. Today, the index is likely to seek support around 17,000-16,955-16,910. On the upside, the index is likely to face resistance around 17,275-17,320-17,360.

The NSE Nifty moved in a range of 115 points, the index slipped to a low of 5,135, and finally ended with a loss of 74 points at 5,149.

The Nifty is likely to seek support around 5,105-5,075, on the upside the index is likely to face resistance around 5,190-5,220.