The 30-share barometer, which had lost 54.01 points in previous session, recovered by 92.87 points, or 0.34 per cent, to 27,178.80 in early trade.
Similarly, the broad-based National Stock Exchange index Nifty traded above 8,100-mark by gaining 21.10 points, or 0.26 per cent, to 8,117.05.
Brokers said fresh buying by foreign funds and retail investors on the back of mild recovery in sectors such as IT, teck, metal and banking, coupled with positive Asian trend, mainly influenced the trading sentiment.
Major gainers among the 30 Sensex stocks were Infosys, TCS, Wipro, Larsen and Toubro and SBI, helping the key indices to trade in positive zone.
Meanwhile in Asia, Hong Kong's Hang Seng index rose by 0.23 per cent, while Japan's Nikkei moved up by 0.17 per cent in the early trade.