The bulls were seen ruling Dalal Street in the dying hours of trade as the benchmark indices climbed out of the negative territory to inch up and add to their gains from previous trading sessions.
Sensex, Nifty continued to rise up for the fifth-day straight on Tuesday. The bulls were seen ruling Dalal Street in the dying hours of trade as the benchmark indices climbed out of the negative territory to inch up and add to their gains from previous trading sessions. S&P BSE Sensex ended 197 points or 0.51% higher at 36,674 while the 50-stock Nifty was just shy of the 10,800 mark. “We went closer to the support level of 10,650 by touching an intraday low of 10,690 and sprung back to cross 10800. For the upside momentum to continue we would need to go past 10,850 which should take us to 11,000. If we are unable to cross 10,850, we might witness a range-bound movement between 10,650 and 10,850,” said Manish Hathiramani, proprietary index trader and technical analyst, Deen Dayal Investments.
Beating Asian peers: Domestic markets outperformed Asian markets that were seen trading in the red. Nikkei 225 was down 0.44% while Topix dived 0.34%. Hang Seng was seen trading down 363 points or 1.38%. Despite this Sensex and Nifty saw bulls take control. “These uncertainties regarding the sustainability of the market rally was visible in the Indian markets also, but were offset by gains in IT and Financials Index,” said Vinod Nair, Head of Research at Geojit Financial Services.
Sectoral Indices: Nifty Private Bank was the best performing sectoral index, gaining 2.6% as all constituents traded in the green except Kotak Mahindra Bank. Nifty IT followed closely behind with 2% gains. 6 of the 11 sectoral indices were in the positive territory.
Top gainers on Sensex: Bulls refused to let go off Bajaj Finance as the stock gained 7.84% during Tuesday’s trading session making it the top Sensex gainer. Following closely behind were IndusInd Bank, Bajaj Finserv, Infosys, and ICICI Bank. 17 of the 30 constituents of the BSE Sensex were in the positive territory on Tuesday.
Global factors: Markets in Asia were down as hopes of a swift economic recovery stood on shaky waters. “Government stimulus and hopes for an economic turnaround have so far kept investor sentiment upbeat. The Chinese share market extended its positive run on Tuesday, in line with the mainland government’s push for a stronger market, though it ended only marginally positive. Stocks in Europe pulled back on Tuesday, as traders waited for the next wave of information on the economy, the spread of coronavirus and corporate earnings,” said Deepak Jasani, Head Retail Research, HDFC Securities.