Nifty future witnessed a steep slide to hit its lowest closing level in more than 17 weeks. Selloff was triggered by increased geopolitical tensions and fresh rout in Chinese market. Market breadth indicating the overall health of the market was negative as broad based selling was seen in most of the sectors.

In overseas markets, global markets were down due to trading in China was suspended for the rest of the day after the CSI 300 index tumbled more than 7% for a second time this week. China’s central bank again devalued its currency yuan’s value by 0.5% lower to the US dollar, deepening concerns about the economy and sending the domestic stock markets tumbling.

Macroeconomic data, trend in global markets, investment by foreign institutional investors (FIIs), the movement of rupee against the dollar and movement of crude oil prices will dictate trend of the market in near term and also CPI, IIP data to be announced on 12th January 2016 and WPI data to be announced on 14th January 2016.

Nifty Future gave weekly closing at 7607.75 with weekly loss of 374.25 points.

Technically, in daily charts short term trend of nifty future is down. NIFTY future has given weekly close above important support level of 7550 and it has formed a descending triangle pattern. Thus, in near future it may test levels of 7400 – 7350 if it breaches its support level of 7550 on closing basis, on upside immediate resistance is at 7700