Daijiworld Media Network - New Delhi

New Delhi, Feb 28: Escalating geopolitical tensions in West Asia are expected to keep global equity markets on edge, with Indian benchmark indices likely to feel the impact when trading resumes, market experts said on Saturday.

The fresh concerns follow Israel’s announcement of “preventive” strikes on Iran, which reportedly led to explosions in multiple parts of Tehran. In response, the Israel Defense Forces said nationwide sirens were activated and mobile alerts were issued, advising residents to remain close to secure shelters as a precaution against possible missile retaliation.

Analysts noted that such geopolitical flashpoints typically prompt investors to shift towards safer assets, resulting in short-term weakness in equities. However, they added that Indian markets had already experienced significant selling pressure in Friday’s session, which could cushion the immediate impact.

As a result, Dalal Street may see a subdued or mildly weak opening rather than sharp panic-driven declines. Market participants are expected to adopt a wait-and-watch approach, especially for any clarity on potential US-Iran diplomatic engagements.

Experts believe volatility could persist if tensions intensify further, but the immediate downside may remain contained unless the conflict broadens.

From a technical perspective, the Nifty 50 has slipped below its 200-day exponential moving average (EMA), indicating a weakening medium-term trend. The index has also formed four consecutive negative daily candles, reflecting growing bearish sentiment.

Technical analysts identify immediate resistance in the 25,300–25,350 range, while strong support is seen between 25,000 and 25,050. Holding above this support band could bring temporary stability, but a decisive breach may open the door for further downside pressure in the near term.