Domestic markets remained lacklustre tracking muted cues from Asian peers and ahead of the outcome of Reserve Bank of India (RBI) policy review.
Staging a smart recovery in the last half an hour of the trading session, BSE Sensex and Nifty 50 ended flat on Wednesday. BSE Sensex ended 37 points or 0.08 per cent down at 44,618, while the broader Nifty 50 index settled 5 points up at 13,114. The trend among Nifty sectoral indices was largely positive. Nifty Metal index was top sectoral gainer, up 2.56 per cent. While Nifty Bank index fell 1.19 per cent. The broader market outperformed the equity benchmarks today. S&P BSE MidCap index rose 0.55 per cent or 94 points to end at 17,167.35, while S&P BSE SmallCap index jumped 0.68 per cent or 116 points to finish at 17,129.
Rajesh Palviya, Head Technical & Derivatives, Axis Securities
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“On the daily chart index has formed a bearish candle however it remained restricted within the previous session’s High-Low range indicating an absence of strength on either side. The index is moving in a Higher Top and Higher Bottom formation on the daily chart indicating a sustained uptrend. The chart pattern suggests that if Nifty crosses and sustains above 13200 levels it would witness buying which would lead the index towards 13300-13400 levels. However, if the index breaks below 13000 levels it would witness selling which would take the index towards 12900-12700. Nifty is trading above 20 and 50 day SMA’s indicating positive bias in the short to medium term. Nifty continues to remain in an uptrend in the medium and long term, so buying on dips continues to be our preferred strategy.”
Nagaraj Shetti, Technical Research Analyst, HDFC Securities
“The short term trend of Nifty continues to be positive with range bound action. The market is expected to face stiff resistance around 13150 or slightly higher in the coming sessions. A sustainable move above this area could open some more upside for the market. A lack of strength to sustain around 13150 levels is expected to result in another one-day sharp drop in the index from the highs. immediate support is now at 12980.”
Ajit Mishra, VP – Research, Religare Broking Ltd
“We’re seeing consolidation in the index but the bias is still on the positive side. Going ahead, further updates on COVID vaccines and cues from the global markets will remain in focus. Besides, on the domestic front, RBI’s monetary policy meet would also be on investors’ radar. The MPC is likely to maintain the status quo however their commentary on growth and inflation would be critical.”
Paras Bothra, President of Equity Research, Ashika Stock Broking
“Domestic markets remained lacklustre tracking muted cues from Asian peers and ahead of the outcome of Reserve Bank of India (RBI) policy review scheduled for Friday. Oil extended losses after an OPEC meeting to decide on production policy was delayed and the American Petroleum Institute (API) reported a surprise build in crude oil inventories. Markets recovered from lows after news came out that the United Kingdom has become the first country to authorise the Pfizer-BioNTech COVID-19 vaccine for use and will be rolled out for use from next week.”