Benchmark indices made new all-time highs today with the Nifty 50 surpassing the 19,500 mark in the intraday session and finally ending the weekly F&O expiry day in the green. The NSE Nifty 50 surged 98.80 points or 0.51% to close at 19,497.30 and BSE Sensex jumped 339.60 points or 0.52% to 65,785.64. In sectoral indices, Bank Nifty soared 188.10 points or 0.42% to 45,339.90, Nifty Auto gained 1.12%, Nifty Pharma rose 0.72% and Nifty Realty surged 2.25%. The top gainers on Nifty 50 were Mahindra & Mahindra, Apollo Hospitals, Power Grid, Tata Motors and Reliance Industries Ltd (RIL) while the losers were Eicher Motors, HDFC Life, Maruti Suzuki, HCL Tech and Bajaj Finance.
“Foreign investors continue to provide unwavering support to the domestic market, helping to sustain the ongoing rally despite weak global cues. India’s underperformance during the year is expected to reverse moving ahead. The mid and small-cap segments have outperformed the benchmark index, with realty, oil & gas, power and consumption stocks leading the sectorial rally as provisional & economic data suggest good Q1FY24 results. However, global markets are displaying a negative trend, influenced by hawkish FOMC minutes and US-China tensions,” said Vinod Nair, Head of Research at Geojit Financial Services.
Where are NSE Nifty 50, Bank Nifty headed?
Nifty support at 19350-19300; resistance at 19500
“Nifty reached another all-time high after two days of consolidation, indicating a breakout in the upward direction. The overall trend appears positive as the index comfortably sits above a key short-term moving average (50DMA). The immediate resistance is visible at 19500; a decisive breakout above 19500 may take the index towards 19725. Support on the lower end is pegged at 19350-19300,” said Rupak De, Senior Technical analyst at LKP Securities.
Bank Nifty may rise to 46000 if it manages to surpass 45500 on closing basis
“Bank Nifty has shown a resilient performance as the bulls managed to hold the support level of 45000, which is considered a crucial make-or-break level for the index. The bears have been active around the 45500 level. However, if the index successfully surpasses this level on a closing basis, it is likely to witness further upward movement toward the 46000 level. Given the overall bullish undertone, it is advisable to adopt a buy-on-dip approach as long as the mentioned support level of 45000 is held,” said Kunal Shah, Senior Technical & Derivative analyst at LKP Securities.