The market managed to close higher for second straight session on positive global cues on Thursday.The Sensex gained 142.09 points or 0.40 per cent to close at 35,898.35 while the Nifty 50 Index ended 54.40 points or 0.51 per cent higher at 10,789.85. The broader market outperformed the frontline stocks with the Mid-Cap and Small-Cap indices rising 0.8 per cent and 1.07 per cent respectively.
The market breadth was positive with 1583 shares rising and 969 shares falling.
Tata Motors (2.94 per cent), Tata Steel (2.94 per cent), Vedanta (2.78 per cent), ONGC (2.05 per cent), Bajaj Finance (2.01 per cent), Sun Pharma (1.79 per cent) and ICICI Bank (1.51 per cent) were the major Sensex gainers, while Yes Bank (1.33 per cent), Infosys (0.91 per cent), and Maruti Suzuki India (0.76 per cent) were the major Sensex losers.
Sectors like metals, consumer, gained while IT stocks were down.
According to analysts, there was good traction in the broader market and since it generally provides a healthy up move, they advise against forming fresh shorts in the market. Although, the banking Index remained quiet, other pockets contributed heavily. At present, it’s advisable to focus on individual stocks, which are showing tremendous outperformance after recent hammering.
Technical View
Sameet Chavan, Chief Analyst-Technical and Derivatives, Angel Broking, said “Due to Wednesday’s recovery, an extended bounce back was very much on cards on Thursday and in-line with this, Index eventually managed to reclaim the 10800 mark. Now going ahead, as long as 10580 remains intact, the bulls have nothing to worry for and in fact, we may probably see further extension of the relief move. For the coming session, 10820– 10860 are the levels to watch out for; whereas on the lower side, 10769 followed by 10721 are likely to act as support levels.”
Market View
Vinod Nair, Head of Research, Geojit Financial Services, said “The market extended gains as investors sentiment has been boosted owing to recapitalisation of PSU banks and the Fed’s affirmation of slow pace in rate hikes. Accumulation is seen on heavyweights after recent falling while the Mid & Small Cap outperformed. Undercurrent in the market is yet to stabilise.”
