Nifty Breaches 23,500: I.T., Banks Under Pressure—What Happens Next?

Indian markets witnessed a sharp gap-down opening, with the Nifty breaching the psychologically important 23,500 level as crude prices climbed and broader pressures weighed on equities. I.T. stocks came under renewed selling pressure, with larger I.T. names taking a significant hit. However, Gaurav Sharma, Associate VP & Head of Research, Globe Capital, believes midcap I.T. continues to perform relatively better and could be the space to watch for investors looking to stay invested in I.T. He also flags weakness in the Bank Nifty, warning that a fresh breakdown could put further pressure on the benchmark indices. Watch the full market outlook and key levels.