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Nifty has failed to cross the month’s opening near 9,535 convincingly despite the announcement of a strong economic package and pushed lower to trade back near the lows.

We believe the positive momentum in the broader market will be only above 9,500 and a breakdown of 9,000 would put further pressure on the index.

Among the index heavyweights, there is an absence of a leader stock or any sector leading the up move in the current expiry, so we believe the upside is capped on the higher side.

The first round of stimulus announcements failed to cheer investors and the market would now wait for the complete announcements and lockdown 4.0 details for the next move.

Nifty50 is down by 7.3 percent while Bank Nifty is down by 11.5 percent from the last expiry. Among other sectors Realty, Metals and FMCG declined by 6 percent on an average while IT and Energy declined by 5 percent each to date.

Auto and pharma are outperforming the broader markets with a decline of just 1.7 percent compared to sharp weakness in headline indices.