Nifty Faces 200-DSMA Scare amid Geopolitics Goosebumps

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Until prices reclaim the short-term moving averages, traders should avoid aggressive bets, said analyst.

By S JHA

Mumbai, January 19, 2026 — US President Donald Trump-led geopolitics disruptions wreaked havoc with Indian stock market on Monday. Tracking global equity losses, markets dived deep.

The markets now fear a renewed spell of tariff wars. The US and Europe tug of war over Greenland stoked fears in markets. Bond yields jumped. Crude oil spiked. The two have for long have been red flags for the markets.

The Friday’s momentum was lost on the first day of the week. IT bellwether went under the hammer. Infosys and Wipro came under bear attacks. Tech Mahindra and LTI Mindtree sought to defy the trend on the street.

The 50-share index at least three times tested the sacrosanct support at 25500. The index bounced from the pivot. But the last half an hour tired the bulls. Bears mauled hopefuls fiercely. Indices plunged sharply.

Chartists now warn that Nifty now is at a crucial stage. A break below the pivot will take the index to much lower levels.

“Nifty witnessed some buying interest at lower levels around key support. While the recovery lacks conviction, the 25500–25450 zone continues to remain a sacrosanct support for the bulls,” said Angel One in a market commentary shared with clients.

The Delhi-based brokerage stated that “a decisive break below this level could confirm a potential topping-out formation in the form of a ‘Double Top,’ which may drag the index towards the 200-DSMA placed in the 25200–25000 zone.” “On the flip side, until prices reclaim the short-term moving averages around 25800–25900, traders are advised to avoid aggressive bets,” added the brokerage firm.

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