While the markets ended flat, buying was seen in rate-sensitive stocks like banking, auto and realty ahead of the RBI’s MPC meet later this week. With expectations rising that central bank could once again take a pause on rate hike, hopes of steady interest rates going ahead triggered optimism in the rate-sensitives.
Technically, the market is consistently holding a higher bottom formation. For traders, 18550 would be the trend decider level. Above the same, the index could move up to 18700-18750. On the flip side, below 18550, uptrend would be vulnerable and below the same, the market could retest the level of 18480. Any further correction, could drag the index till 18440.
Markets remained volatile and ended almost unchanged amid mixed cues. After the flat start, Nifty drifted lower as the day progressed however a sharp recovery in the last half an hour trimmed all the losses. Eventually, Nifty settled closer to the day’s high at 18,599 levels.
On the sectoral front, auto, realty and pharma were the top contributors while IT traded under pressure. Among the broader pack, the smallcap index managed to gain nearly half a percent while the midcap ended almost unchanged.
The buoyancy in select sectors is helping the index to hold strong despite mixed global cues and the underperformance of the banking pack. We feel it is prudent to remain focused on identifying buying opportunities from the performing sectors viz. auto, FMCG, realty etc amid consolidation. A decisive break above 18,700 would fuel the next leg of up move towards the record high.
Among sectors, auto and realty gained 1 percent, while information technology index shed 1.5 percent.
Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities
While the markets ended flat, buying was seen in rate-sensitive stocks like banking, auto and realty ahead of the RBI’s MPC meet later this week. With expectations rising that central bank could once again take a pause on rate hike, hopes of steady interest rates going ahead triggered optimism in the rate-sensitives.
Technically, the market is consistently holding a higher bottom formation. For traders, 18550 would be the trend decider level. Above the same, the index could move up to 18700-18750. On the flip side, below 18550, uptrend would be vulnerable and below the same, the market could retest the level of 18480. Any further correction, could drag the index till 18440.
Markets remained volatile and ended almost unchanged amid mixed cues. After the flat start, Nifty drifted lower as the day progressed however a sharp recovery in the last half an hour trimmed all the losses. Eventually, Nifty settled closer to the day’s high at 18,599 levels.
On the sectoral front, auto, realty and pharma were the top contributors while IT traded under pressure. Among the broader pack, the smallcap index managed to gain nearly half a percent while the midcap ended almost unchanged.
The buoyancy in select sectors is helping the index to hold strong despite mixed global cues and the underperformance of the banking pack. We feel it is prudent to remain focused on identifying buying opportunities from the performing sectors viz. auto, FMCG, realty etc amid consolidation. A decisive break above 18,700 would fuel the next leg of up move towards the record high.
During the observed period, the Nifty index exhibited high levels of volatility, but its movement was confined within a narrow range. On the daily chart, it formed a doji candle, indicating indecision in the market. As a result, the overall trend is expected to remain sideways, with the index not showing a clear direction in its movement.
In terms of levels, there is a support level at 18,500, which suggests a potential floor for the index, while a resistance level is identified at 18,665, indicating a barrier to further upward movement.
(With inputs from agencies)