The BSE Sensex dropped 223 points to 62,626, and the Nifty50 declined 71 points to 18,563, forming a bearish candlestick pattern for the second consecutive session.

• Santosh Meena, Head of Research at Swastika Investmart, noted signs of exhaustion and negative divergence in momentum indicators, suggesting a potential for profit booking at higher levels.

• The immediate support level for the Nifty is the 20-day moving average (DMA) at 18,450, followed by 18,180. The resistance zone is seen in the range of 18,800-18,888.

• The Nifty Midcap 100 and Smallcap 100 indices also trended downward, with weak breadth, while volatility remained at lower levels. The India VIX closed at a one-and-a-half-month low, indicating market stability.

• According to the pivot point calculator, potential support levels for the Nifty are at 18,552, 18,523, and 18,477, while key resistance levels are at 18,645, 18,673, and 18,720.

• The Bank Nifty ended the day 6.3 points down at 43,989, forming a small-bodied bearish candlestick pattern with a long upper shadow.

• In terms of options data, the maximum Call open interest (OI) for the Nifty was at the 18,700 strike, followed by 18,800 and 18,600 strikes. Maximum call writing was observed at the 18,600 strike.

• On the Put side, the maximum open interest was at the 18,700 strike, followed by the 18,600 and 18,300 strikes. Put writing was seen at the 18,300 strike.

• Stocks with high delivery percentage included Alkem Laboratories, Kotak Mahindra Bank, Ipca Laboratories, HDFC, and Asian Paints, among others.

• Based on the increase in open interest (OI) and price, 31 stocks, including Balrampur Chini Mills, India Cements, Hindustan Aeronautics, Apollo Tyres, and Delta Corp, saw a long build-up