Opening Bell: Nifty slips below 1,200, Sensex sheds around 250 points; IT top loser

Tracking weakness in the Asian market, the Indian market opened on a negative note on Monday. The benchmark indices declined around half per cent each amid volatility in the global market. The broader Nifty50 slipped below 16,200, while the 30-share Sensex declined by around 250 points to start near 54,250.  

In the broader market, Nifty Midcap dropped 0.20% and Smallcap gained 0.10% as India VIX remained near 17-mark 

Among the sectoral indices, all indices, except Metal, Pharma and Healthcare, slipped in the red.  

In the pre-open, the Sensex declined by more than 250 points as 24 shares declined, five advanced and one remained neutral on the 30-share index. 

"FPI selling, which has been a major drag on the Market since October 21, is showing a marginally different trend. Even though FPIs continue to be net sellers, they bought on 4 days this month. This means some FPIs are seeing value in some segments," said V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services. 

"Despite a close above 16200 described yesterday as the wall of worry, inability to clear the recent peak of 16275 convincingly, validates the modest objectives that we had set out with at the beginning of the week, said Anand James - Chief Market Strategist at Geojit Financial Services in market pre-open commentary.  

This sets up an environment for a pullback to 16145, before consolidating and re attempting another push higher, or extended slippage to 16065 that could close yesterday’s gap, he said. "That said, we do not expect a collapse as long as 15970 attracts bargain hunting again and shall until then, remain committed to the 16800 view for the near term," the expert added.