Markets Crash amid Trump Pain as Nifty RSI Slips Under 20

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Nifty has corrected by more than 1,300 points over the past 15 days. The damage in the broader markets has been severe.

By S JHA

Mumbai, January 23, 2026 — Equity market vision is now short. Longs are shorted. Recovery is short-lived. Geopolitics upheavals shake up markets at alarming proportions. Geopolitics jitters shook Indian markets on Friday.

The Black Friday for markets shaved off all gains of Thursday. Worse, indices lost pivot. Chartists now fear deep pains. Volatility spike is a new dread for traders.

The markets now go into the last week ahead of the Union Budget 2026. If fear of tariff war too backseat over Greenland thaw, Iran now is a flashpoint. India faces fear of Middle East tension.

“Technically, after failing to sustain above the 26300 zone earlier this month, prices have now broken below the November swing low, confirming a ‘Rounding Top’ formation, an unfavourable development for the bulls,” said Angel One in a market note shared with clients. The brokerage firm stated that “Nifty has corrected by more than 1,300 points over the past 15 days, while the damage in the broader markets has been far more severe, with sharp sell-offs across individual stocks.”

“On the indicator front, the RSI (smoothened) has entered oversold territory, slipping well below the 20 mark. Historically, such conditions have often led to sharp turnaround,” added Angel One. It cautioned that “given the current broad-based selling pressure, attempting to catch a falling knife may prove risky. It is prudent to wait for clear signs of reversal before initiating any aggressive long positions.”

“As we head into the Budget week, volatility is expected to remain elevated, with the possibility of sharp swings on either side. Hence, traders need to remain highly selective and clearly define exit strategies,” advised the brokerage firm.

It also stated that “the sharp bounce seen from 24900 mark on Wednesday now acts as immediate support for the monthly expiry. A break below this could open the door toward the next major support zone of 24600–24500, where multiple bottoms were formed during the start of the October–November rally.”

“On the upside, given the recent vertical fall, identifying strong resistance is challenging; however, the intra-week high zone of 25350–25450 is seen as immediate resistance, followed by a stronger hurdle near 25600,” added Angel One.

(Disclaimer: This article makes no recommendation for any kind of trades in the stock market)