It was a volatile session on the D-Street on Monday. The domestic key equity indices ended on a higher note, recouping from the day’s low. The NSE Nifty 50 closed the session 37.25 points or 0.16% at 22,966.50, while the BSE Sensex rose 68.47 points or 0.09% to end the day at 76,007.68
The Nifty Pharma and Healthcare led the recovery path. The Nifty Pharma closed the session at 1.20% higher while the Nifty Healthcare ended at 1.60% higher.
The banking index, Nifty Bank closed the session 196.65 points or 0.40% at 49,296.10. Following the overall trend, the broader indices closed higher on Monday, the Nifty Midcap 100 finished 234 points, or 0.47%, higher at 49,888.15.
Sectoral Index
In the broader markets, small- and mid-cap stocks closed the day on a positive note. The volatility index India VIX shot up 4.66% to 15.72 level.
Adani Enterprises (3.93%) was the top gainer in the Nifty 50, followed by Bajaj Finserv (2.65%), IndusInd Bank (2.5%), Power Grid Corp (2.23%), and Adani Ports (2.11%). Meanwhile, M&M, Bharti Airtel, Infosys, TCS, and ICICI Bank were the five major losers in the Nifty 50.
“On the daily charts, the Nifty 50 has closed positive after eight trading sessions. Improvement in PCR (OI) from 0.64 to 0.81 suggests put writing and thereby making the zone of 22,800 – 22,700 a strong support base form this weekly expiry perspective. Considering the above data points, we expect a relief rally towards 23250 (20day moving average) from short term perspective,” said Jatin Gedia, Technical Research Analyst at Mirae Asset Sharekhan.
The analyst with Mirae Asset Sharekhan changed its short term bias to positive for short term target of 23,800 which coincides with 20 week average with a reversal placed at 22,600.
“Positive Asian and European indices aided sentiment, while gains in select banking, oil & gas, metals and power stocks helped local benchmarks recover from their early lows,” said Prashanth Tapse, Senior Vice President of Research at Mehta Equities.