Today was a very bad day for stock market investors. After the market opened in the green on Monday, the first trading day of the week, there was a massive sell-off in the Indian market due to the news of the Chinese virus HMPV entering India and within no time, investors lost Rs 11 lakh crore today. Sensex and Nifty 50 fell by more than 1.5% today. There was a decline in stocks of all sectors including private banks and FMCG stocks. Mid cap and small cap stocks were the worst hit. However, large cap stocks also could not escape this fall. 

In this way, investors lost 11 lakh crores 

Let us tell you that the market cap of the companies listed on BSE was more than Rs 4.49 lakh crore on Friday, January 3. Today it was reduced to Rs 4.38 lakh crore due to selling pressure. In this way, investors lost Rs 11 lakh crore in a day. Let us tell you that the BSE Sensex today closed at 77,964.99 points, falling 1258.12 points. Similarly, the NSE Nifty closed at 23,616.05 with a huge fall of 388.70 points. 

Now what is the prediction for the future? 

Santosh Meena, Research Head, Swastika Investmart, said that Indian stock markets fell sharply today. Both Nifty and Bank Nifty have slipped below their 200-day moving average (DMA). The reason for the sell-off may be the increase in selling by foreign institutional investors (FIIs) and concerns about the upcoming third quarter earnings season. Additionally, the news of the Chinese virus HMPV virus entering India has further increased the bearish sentiment, leading to a new round of selling after the recent pullback rally. The overall market sentiment is weak. However, there remains a ray of hope for the bulls. Both Nifty and Bank Nifty are currently trading near their important support levels of 23,500 and 49,700 respectively, which may provide some relief to the bulls.

Selling will increase when support is broken

Market experts say that Nifty and Bank Nifty closed at support today. If this support breaks on Tuesday, the market may see a bigger decline. At the same time, the uptrend may return if there is a pullback. However, there is little hope that the uptrend will continue. Selling is dominating the market.