The number of advances at NSE went up smartly from 460 to 848, with advance volumes going down from Rs 2843 crore to Rs 2685 crore. The reduction in advance volume could well have been due to profit taking at top end at select scrips, including Infosys Technologies. The number of declines went down sharply from 687 to 286, with decline volume shrinking from Rs 425 crore to Rs 300 crore.

The bullishness was marked at the BSE as well. The number of advances here went up from 987 to 1137 with advance volumes coming down from Rs 2386 crore to Rs 2168 crore. The number of declines went down from 647 to 286, with decline volumes going down from Rs 425 crore to Rs 300 crore.

An important aspect of the day's trading was the index reaching up to an intra day high of 4707. This has to be viewed in the light of the high of 19 November, where the index had reached a high of 4653. In scaling over this number, the index has raised hopes of continuing its northward journey.In so doing, it will come up with a resistance at 4796 first and later at 4845. The index had opened at 4642, some six points above the previous close of 4636.

The day's high at 4707 was an improvement of 66 points above the previous high of 4641. The day's low at 4640, was again an improvement of 48 points over the previous low of 4592. At close at 4686, the Sensex had gained 50 points over the previous close of 4636. The daily stochastic indicator is on the buy mode, approving of buying into the market now. It is midway between the overbought and oversold region. The RSI indicator too is signalling buy for the medium and long term investors.