Bulls continued to dominate Dalal Street momentum on Wednesday morning as benchmark indices closed with gains just a day ahead of the monthly futures & options expiry session. S&P BSE Sensex added 740 points or 1.28% to end at 58,683 while the NSE Nifty 50 index zoomed 173 points or 1% to close the day at 17,498. Bajaj Finserv was the top Sensex gainer on Wednesday, zooming 3.52%, followed by Mahindra & Mahindra, and Bajaj Finance. ITC was the worst-performing stock, down 2.18%, followed by Tata Steel, and Tech Mahindra. Bank Nifty index gained 1.38% to settle at 36,334. Broader markets mirrored the upmove while India VIX ended in the red.
Nagaraj Shetti, Technical Research Analyst, HDFC Securities –
“The short term trend of Nifty continues to be positive. A sustainable move above 17500 levels could be considered as an upside breakout of the range movement and also an immediate hurdle. This could pull the Nifty towards the upside target of 17800-18000 levels in the near term. Immediate support is placed at 17350.”
Mohit Nigam, Head – PMS, Hem Securities –
“Overall we believe that positive momentum is likely to continue due to various supporting factors such as ease in crude and commodity prices (helps in reducing the margin pressure), peace talks between Russia and Ukraine (helps in boosting the investor sentiment). Immediate support and resistance in Nifty 50 are 17,300 and 17,700 respectively. Immediate support and resistance in Bank Nifty are 35,800 and 37,000 respectively.”
Sachin Gupta, AVP, Research, Choice Broking –
“Technically, the index has been rising continuously from the last three trading sessions and moved above the prior swing highs. Moreover, the index has sustained above 100-EMA on the daily chart which suggests a bullish strength for the coming day. At present, the index has support at 17340 levels while resistance comes at 17650 levels. On the other hand, Bank nifty has support at 35700 levels while resistance at 36900 levels.”
Neeraj Chadawar, Head – Quantitative Equity Research, Axis Securities –
“In the last two weeks, some recovery is visible in the market from the oversold zone led by key drivers like peace talk between Russia-Ukraine, FED decision on an expected line, and State election results in favor of the ruling government. With all these developments, risk appetites are back in the market with India VIX now trading at around 21 levels which is slightly below the long-term average of 22. In the near term, market performance is likely to be range-bound, as the clear trend is likely to emerge only after the volatility sustains at current levels for a longer time. We believe the market will likely follow the double-digit earnings growth in upcoming years.”
Vinod Nair, Head of Research at Geojit Financial Services –
“High volatility prevailed in the global market, but peace talks between Russia and Ukraine gave hopes of de-escalation of the war, helping the domestic market to trade with confidence. The ease in crude oil & commodity prices supported the market as it will help corporates to reduce their margin pressure.”