The equity benchmark indices Sensex and Nifty opened flat on Wednesday morning, tracking domestic and global cues. The Sensex was mainly helped by a surge in prices of TCS, Infosys which were up by more than 2% each. After closing at 33,771.05 on Tuesday, the Sensex opened at 34,753.8 on Wednesday morning, while Nifty opened at 10,702 as compared to yesterday’s closing of 10,700. 

ICICI Bank, Dr Reddy’s Lab and HDFC Bank shares were up by more than 1% each. Asian Paints, Power Grid, Coal India shares were among the top losers in the 30-share barometer. GAIL,  Zee Ltd and Wipro shares registered gains in the Nifty, while shares of Ambuja Cement and Kotak Mahindra Bank posted declines.

Track live stock prices: TCS, Infosys, HDFC Bank, ICICI Bank

Earlier, Asian stocks pulled back from record highs, following declines in U.S. counterparts. The dollar declined against most major currencies. The Singapore-traded SGX Nifty, an early indicator of NSE Nifty 50 Index’s performance in India, fell 0.1 percent to 10,704.50 as of 6:45 a.m. U.S. stocks sank, retreating from all-time highs as commodities producers and industrial shares took a hit with oil and metals in decline.

Technical experts point out that 10,700 will be an important level for the Nifty. “We had stated this possibility in our previous article and now, going by the gap theory, Monday’s high of 10,782.65 has now become a strong hurdle and once the Nifty starts sustaining below 10,687; we can see a decent profit taking in days to come. In this case, 10655 – 10597 levels can be retested,” Sameet Chavan, Chief Analyst Technical and Derivatives, Angel Broking said in a note.

Thwe firm says that Metal stocks will be a key area to watch out for. “In-line with our recent view, the ‘Metal’ pack now looks a bit vulnerable and has seen some severe liquidation of positions. Hence, as a momentum trader, one can look for shorting opportunities in names like, Hindalco, Vedanta and Tata Steel. Also, PSBs have taken a strong toll along with midcap ‘Private’ banking peers. Do watch out for these spaces as well. On the other hand, the index balancing was successfully carried by the ‘IT’ heavyweights and they may continue to do so along with selective ‘Pharmaceutical’ names like, Dr. Reddy, Sun Pharma and Divis Lab,” Angel Broking said in a note.