Domestic indices ended Wednesday’s trading session in the green. The NSE Nifty 50 rose 30.45 points or 0.16% to 19,465 and BSE Sensex climbed 137.50 points or 0.21% to 65,539.42. In sectoral indices, Bank Nifty plunged 0.33%, Nifty Financial Services tumbled 0.34%, Nifty Private Bank fell 0.46%, and Nifty Metal tanked 0.94%, while Nifty Media soared 1.20%, Nifty FMCG rose 0.41%, Nifty IT gained 0.59%, and Nifty Pharma climbed 0.61%. The top gainers on Nifty 50 were Apollo Hospital Enterprises, Ultratech Cement, NTPC, Infosys and Tata Motors, while the top losers were Tata Steel, Adani Ports, Hindalco Industries, HDFC Life Insurance and Bharti Airtel.
“Markets showed resilience amid weak global cues and ended marginally in the green. After the initial downtick, the Nifty inched gradually higher as the day progressed and pared all the loss to close at 19,465 level. Meanwhile, a mixed trend on the sectoral front kept the traders busy wherein realty, auto and pharma attracted buying interest while metal and banking remained subdued. The broader indices too witnessed a similar trend as the smallcap index managed to gain over half a percent while the midcap ended flat,” said Ajit Mishra, SVP – Technical Research, Religare Broking.
Where are NSE Nifty 50, Bank Nifty headed?
Nifty 50 short-term target at 19100
“The Nifty has been in a counter-trend pullback since the last couple of trading sessions. It closed in positive for the second consecutive trading session up 80 points. On the daily charts, we can observe that the nifty has overlapped the swing low of 19,563 and as a result, the fall is no longer impulsive in nature. The pullback still appears corrective in nature and this is unlikely to sustain at higher levels. It has reached the 61.82% Fibonacci retracement level (19,605) of the fall from 19,795 – 19,296 which is likely to provide resistance. Also, the hourly momentum indicator has reached the equilibrium line indicating that the pullback has matured and can start a new cycle. Overall, we still shall continue to maintain our negative stance on the Nifty, and we expect levels of 19,100 from a short-term perspective,” said Jatin Gedia – Technical Research Analyst at Sharekhan by BNP Paribas.
Bank Nifty short-term target at 44000
“Bank Nifty traded within the range of the previous trading session and closed in the red. It has thus formed an Inside Bar pattern on the daily charts which makes the extremes of the pattern i.e. 45,1118 and 44,520 crucial levels from a short-term perspective. A breach of these levels on either side shall lead to a move in that direction. Considering the price and momentum setup, we expect the index to trade with a negative bias and target levels of 44,000 from a short-term perspective,” Jatin Gedia added.