Sensex surges for 2nd straight day, Bank Nifty holds above 41200; Nifty eyes 18450 target

By: |
October 26, 2021 4:15 PM

BSE Sensex and Nifty 50 ended in the positive territory for the second straight day on Tuesday, aided by buying in fag-end of the session.

Sensex, Nifty, stock marketNifty Bank index sustained above the 41,200 level and finished trade at 41,238.30 levels. Image: Reuters

BSE Sensex and Nifty 50 ended in the positive territory for the second straight day on Tuesday, aided by buying in fag-end of the session. BSE Sensex surged 383 points or 0.63 per cent to end at 61,350.26, while Nifty 50 ended at 18,268, up 0.79 per cent or 143 points. Index heavyweights such as Reliance Industries Ltd (RIL), Kotak Mahindra Bank, Bajaj Finance, Tata Steel, and Titan, among others contributed the most to the indices gain. Nifty Bank index sustained above the 41,200 level and finished trade at 41,238.30 levels. The broader market outperformed the equity benchmarks, as the BSE Midcap index surged 440 points or 1.75 per cent, and the BSE Smallcap index rallied 613 points or 2.20 per cent. India VIX, the volatility index, fell 4.86 per cent to end at 16.75 levels. Technical analysts expect the pullback rally to continue up to 18375 and see the index rising to 18450.

Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities

Markets witnessed volatility in early trades but benchmark Nifty soon found support near 18100 and reversed sharply thereafter. The index has formed a promising reversal formation near the 20 day SMA which is broadly positive. In addition, on intraday charts, it has formed a higher bottom formation that also supports further uptrend. We are of the view that as long as the Nifty is trading above 18200, the pullback rally is likely to continue up to 18375 and on the further upside, the index may rise up to 18450. On the flip side, dismissal of 18200 may trigger further weakness up to 18100-18050.

Vijay Dhanotiya, Lead Technical Research Analyst, CapitalVia Global Research

The Market witnessed some volatile movements and an attempt to hold the level above the Nifty 50 Index level of 18200. Our research suggests that 18200 will be an important support level for the market. If the market is able to sustain the level of 18200, we can witness a positive momentum in the market which can lead to higher levels near 18600. We have observed the momentum indicators like RSI and MACD indicating positive momentum in the market.

Ajit Mishra, VP – Research, Religare Broking

Markets managed to end higher in a volatile trading session, thanks to firm global cues. Upbeat earnings announcements from the US markets set the tone in the beginning however choppiness in the index majors, especially from the banking pack, in the middle kept the participants on their toes. Consequently, the Nifty ended higher by 0.8% at 18,268 levels. Mostly sectoral indices traded in sync with the benchmark and closed in the green. The broader indices also witnessed a breather after five days of the slide and posted decent gains. Indications are in the favour of further rebound however a lot would depend on the earnings announcements scheduled in the following sessions. We have some prominent names like Bajaj Auto, ITC, Indusind Bank, Maruti and LT who will announce their results on October 27. Besides, global cues would also remain in focus. Participants should maintain a positive yet cautious approach and prefer hedged positions

Rohit Singre, Senior Technical Analyst, LKP Securities

After touching its strong support zone of 18k mark index showed good pull back & closed a day at 18268 with gains of nearly one percent and formed a bullish candle on the daily chart after six consecutive red candles. Going forwards index has shifted its base to 18200-18100 zone any dip around mentioned support zone will be again buying opportunity with keeping stop out level below 18100 zone & if prices managed to sustain above-said levels then we may see some more extension in the current pullback towards immediate hurdle zone of 18350-18500 zone.

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, Check out latest IPO News, Best Performing IPOs, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1Tega Industries sets price band at Rs 443-453 for Rs 619-crore IPO
2Stocks sink on fears of COVID-19 variant; S&P drops 1.4%
3Wheat sowing up 3.36 pc so far: Agriculture Ministry