Indian market closed marginally higher in a volatile session on Tuesday amid gains in auto, banking and consumer durables stocks. Sensex closed 20.86 points higher at 58,136 and Nifty ended at 17,345.45, up 5.40 points.
Of 30 Sensex stocks, 16 ended in the red. Mid-cap and small-cap indices rose 122 points and 94 points, respectively.
Auto, banking and consumer durables shares were the top sectoral gainers with their BSE indices zooming 185 points, 143 points and 177 points, respectively.
Market breadth was positive with 1,892 stocks ending higher against 1,479 stocks falling on BSE. 123 shares were unchanged.
Here’s a look at what analysts said about the direction the market is likely to take today.
Tirthankar Das, Head of Technical Research, Ashika Group
“The psychological level of 17,000 which further coincides with the 200 DMA would be the immediate short term trend deciding level for the market. On the upside the elevated target level for Nifty is around 17,500 (being 80% retracement of two-month decline (18,100-15,183). Improving market breadth measured by percentage of stocks above 50 & 200 DMA within Nifty 500 universe augurs well for durability of ongoing up move. Hence, intraday dip towards 17,190-17,222 can be used creating a long position for the target of 17,500.”
Osho Krishan, Sr. Analyst – Technical & Derivative Research, Angel One
The undertone is set in favour of the bulls, and any minor correction could be seen as an opportunity to go long in the index. As far as levels are concerned, the 17,450-17,500 odd zone is expected to act as an immediate hurdle for the index. On the contrary, 17,200 is expected to cushion any minor correction, while the unfilled gap around the 17,000 mark holds the sacrosanct support zone for the index.
Nagaraj Shetti, Technical Research Analyst, HDFC Securities
“The overall chart pattern of the Nifty signals minor downward correction or consolidation movement for the next 1-2 sessions before showing another round of upside bounce from the lows. Immediate support is placed at 17,150 and the crucial overhead resistance to be watched around 17,400 levels.”
Deepak Jasani, Head of Retail Research, HDFC Securities
“Nifty seemed to have halted after four days of sharp rise. It may now consolidate/correct minorly before embarking on the next move. 17,173-17,390 could be the band for the Nifty in the near term.”
Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities
“The higher bottom formation on intraday charts is indicating continuation of an uptrend in the near future. As long as the index is trading above 17,200, the uptrend texture is likely to continue up to 17,400-17,450. On the flip side, below 17,200, traders may prefer to exit from long positions, as the index could slip till 17,150-17,100.”