$SENSEX, S&P BSE SENSEX INDEX / D India's key stock indices closed in the red on Tuesday, November 20. Market participants were unimpressed by the outcome of the meeting between the RBI management and government officials on various issues related to banking sector regulation and liquidity, as it became clear that the implementation of the changes proposed during the talks would take a long time. Notably, this was the first meeting after news broke that the central bank and the government disagreed on a wide range of issues. The regulator promised to support small businesses and give banks more time to take measures to improve compliance with capital adequacy requirements. In addition, it was decided to establish an expert committee, which will monitor the size of the RBI reserves. The news flow was negative, as US and Asian stock markets posted losses. Recapping the benchmarks, the Nifty 50 dropped 1.00% to 10,656.20, while the BSE Sensex closed 0.84% lower at 35,474.51. By 10:53 GMT, the USD/INR currency pair edged down 0.03% to 71.465, while EUR/INR traded down 0.35% to 81.7280. Bank names underperformed the broader market, with State Bank of India and Oriental Bank of Commerce falling 1.6% and 2.5%, respectively. Another representative of the industry Yes Bank sank 6.2% on news about the resignation of its non-executive chairman. Notably, this is not the first case of resignation involving the bank’s top managers. Meanwhile, IT names retreated amid a rising rupee. In the upshot, Infosys and Tech Mahindra lost 1.6% and 3.1%. The daily chart shows that the BSE Sensex has been trading near the upper end of Bollinger Bands, while the Slow Stochastic Oscillator has been in overbought territory. In view of the above, the benchmark may continue to head lower in the short term.