Benchmark indices NSE Nifty and BSE Sensex extended gains on Tuesday and ended the session in green. The NSE Nifty 50 rose 25.85 points 0.15% to 17,769.25 and BSE Sensex climbed 74.61 points 0.12% to 60,130.71. In sectoral indices, Bank Nifty advanced 42.75 points or 0.10% to 42,678.5 and Nifty PSU Bank surged 52.15 points or 1.31% to 4,036.35. The top gainers on Nifty 50 were Adani Enterprises, Bajaj Finance, Britannia, Bajaj Finserv and Bharti Airtel while the top losers were HDFC Life, UPL, HDFC, HDFC Bank and Tech Mahindra.
“The domestic market succeeded in holding the gains, though multiple attempts were made by bears to reverse the trend considering the weak global market. Investors are highly nervous as they await the release of US GDP and PCE inflation data, which will guide the upcoming Fed action. The Fed is expected to raise their rates by another 25bps in its announcement on 3rd May,” said Vinod Nair, Head of Research at Geojit Financial Services.
Where are NSE Nifty 50, Bank Nifty headed?
Nifty crucial support at 17620-17600, resistance at 17863-17880
“As we are in the final week of the April series expiry volatility can be high for the next couple of trading sessions. so, the crucial support zone to keep a watch is 17620 – 17600. Until the Nifty manages to hold and trade above this zone, we can expect the up move to continue. On the upside, the initial hurdle stands at 17863 – 17880. A break above that shall lead to a sharp rise towards the 18000 psychological mark. Overall, we shall continue to maintain our positive stance from short-term perspective for a target of 18100,” said Jatin Gedia, Technical Research Analyst, Sharekhan by BNP Paribas.
Bank Nifty critical support at 42200, resistance at 42850-42900
“Bank Nifty created a Spinning Top candlestick pattern on the daily charts. This indicates that profit-taking is taking place at higher levels, and market participants are cautious about taking fresh long positions. Going forward, traders and investors will closely monitor the critical support level of 42200, as a breach of this level could lead to further downside in Bank Nifty. On the upside, the zone of 42850-42900 will operate as a resistance, and a decisive move above this level could trigger fresh buying interest,” said Ameya Ranadive CMT CFTe. Equity Research Analyst, Choice Broking.