Heavyweights rally; Sensex up nearly 200 points, Nifty closes at 22,100 even as IT stocks sulk on Accenture guidance

The Indian equity indices on Friday ended higher. The Nifty 50 closed the day’s trading 85 points or 0.39% higher at 22,096,75. At the same time, Sensex ended 190 points higher to finish the session at 72,831.94. The gainers included UPL, Maruti Suzuki, Hero MotoCorp, Bajaj Auto, and Sun Pharma. The Indian Volatility Index (India VIX) closed 2.32% lower. 

Nifty Bank rose 180 points to close the day’s trading at 46,863.75. The Nifty Midcap 100 gained 280 points or 0.59% to settle at 47,312.85. 

On the sectoral front, auto and realty stocks were trading high throughout the trading session. In the broader indices, midcap and smallcap stocks closed in the green. 

“The Bank Nifty index saw robust buying from lower levels but struggled to breach the resistance at 47,000. Immediate support lies at 46,600-46,500, and as long as the index holds above this level, the outlook remains bullish. A breakthrough above 47,000 is anticipated to trigger sharp short-covering rallies towards the 48,000 mark,” said Rupak De, Senior Technical Analyst at LKP Securities.

“The Nifty opened at a gap down today. However, it recovered and closed with gains. On the daily charts, we can observe that the index is in the process of retracing the fall it has witnessed from 22526 – 21710. The key retracement levels are placed at 22118 – 22214. The dip found buying interest at 21900 – 21880 where the 20-hour moving average was placed. The retracement process is still not complete and hence the rally can continue. The daily and hourly momentum indicators provide a divergent signal which can lead to consolidation. The range is likely to be 22200 – 21900. Stock-specific action is likely to continue during this period,” said Jatin Gedia, Technical Research Analyst at Sharekhan by BNP Paribas.

“Bank Nifty also consolidated within a narrow range around the key daily moving averages. On the upside, the key retracement level can continue till 47000 – 47200 over the next few trading sessions. The crucial support zone is placed at 46500 – 46400,” Gedia commented on Bank Nifty.