The Nifty index saw a small recovery of 0.3 percent after a seven-day decline, but struggled to close above the critical 200-day EMA at 23,540 for the third consecutive session on November 19.

It experienced a significant drop of 262 points from its intraday high of around 23,800, forming a Gravestone Doji pattern on daily charts, which suggests caution and a potential bearish trend.

Analysts believe that the 23,800 level, which represents the 50 percent Fibonacci retracement of the rally from June"s low to September"s record high, will be an important resistance point in the near future. As long as the Nifty remains below the 200-day EMA, there is a possibility of a decline towards the 23,200 mark, which aligns with the 50-week EMA. It is advised for investors to closely monitor these key levels as they navigate the current market landscape.