Indian equity benchmarks witnessed sharp declines on Monday, June 8, with the Nifty 50 falling 243.70 points (1.04%) to close at 23,123 and the BSE Sensex declining 719.08 points (0.97%) to settle at 73,524.26. According to Moneycontrol, the decline was triggered by escalating tensions in West Asia, rising crude oil prices, and weak global cues that left investors bracing for another volatile session. Market sentiment was significantly impacted by reports suggesting that Iran fired missiles at Israel, raising concerns over the fragile security situation in the region and dampening hopes of any immediate peace breakthrough between Washington and Tehran. The development also fuelled worries over potential disruptions in global oil supply, pushing crude prices higher. Market breadth remained decisively negative with the BSE advance-decline ratio slipping to 0.52, its lowest level since May 20, as declining stocks significantly outnumbered advancing stocks. Broader markets underperformed significantly, with the Nifty Midcap 150 index ending over 1.5% lower and the Nifty Smallcap 250 index dropping more than 2%, highlighting the extent of the market weakness across all market capitalizations. GIFT Nifty was trading lower at around 23,110.50, indicating a negative opening for domestic equities on June 9, with the latest data showing GIFT Nifty trading around 23,137 level, a discount of nearly 38 points from the Nifty futures' previous close.
Engineers India is positioned for a potential breakout after breaking out of a triangular consolidation pattern in April 2026 around the ₹224 level. As reported by JM Financial Services, the stock rallied to ₹267 before retracing toward the breakout zone and found support near the 20-week EMA. The price is currently trading above all key EMAs on the daily timeframe, supporting a positive momentum outlook. Technical indicators suggest bullish momentum is likely to continue, with targets set at ₹262 and ₹275 and a stop-loss at ₹208.8.
Avenue Supermarts has been trading within a prolonged consolidation range and recently formed a Harami Cross pattern on June 1, with the stock advancing since then supported by improving volumes. According to Samco Securities, the stock found support near a previous gap zone and has targets of ₹4,444 and ₹4,550 with a stop-loss at ₹3,936. Power Finance Corporation is consolidating in a flag pattern after finding support in the ₹415–420 zone and is attempting to break out with volumes above recent average, targeting ₹445 with a stop-loss at ₹410.
CG Power and Industrial Solutions is trading at a 52-week high with volumes nearly double the recent average, indicating robust buying interest. As reported by Choice Broking, the stock has targets of ₹1,010 with a stop-loss at ₹895. TVS Motor Company is forming a base near the ₹3,300 zone with strong support accumulation, targeting ₹3,600 with a stop-loss at ₹3,260. The capital goods sector is witnessing renewed interest, providing additional tailwinds to the setup. Notably, TVS Motor's HLX motorcycle series has crossed the 5 million global sales milestone, demonstrating strong market acceptance. Healthcare emerged as the relative outperformer among sectoral indices, managing to close marginally positive despite the broader market decline.
Shriram Finance is showing early bullish momentum after taking support near its 200-day EMA and forming a Dragonfly Doji candlestick, targeting ₹1,000 with a stop-loss at ₹870. Aurobindo Pharma is demonstrating strong bullish momentum with sustained higher high-higher low formation and weekly range breakout, targeting ₹1,600 with a stop-loss at ₹1,400. The RSI has rebounded from the midpoint at 54.11, signalling improving momentum across these financial sector stocks. Additionally, Hindustan Zinc signed an MoU with TERI for a 250-hectare restoration project in Rajasthan, indicating continued expansion in the mining sector.
According to Choice Broking's Sachin Gupta, the Nifty formed an inverted hammer-like candlestick pattern on the daily chart, indicating buying support emerging from lower levels despite the weak close. However, the inability to sustain near the intraday highs reflects continued caution among market participants. Immediate support is placed in the 22,900–23,000 zone while resistance is observed in the 23,250–23,300 range. The Relative Strength Index (RSI) stands at 35.77, indicating weak momentum, while the volatility index, India VIX, surged 8% to close around 17, indicating rising market volatility. Foreign Institutional Investors (FIIs) remained net sellers in the Indian equity market on June 8, offloading shares worth ₹5,555 crore, while Domestic Institutional Investors (DIIs) provided support by purchasing equities worth ₹5,165 crore. Technical analysts believe the benchmark index is approaching a crucial support zone, with the next trading session likely to determine whether the market stabilises or slips into a deeper correction.
