Nifty Surges Over 300 Points on Strong Global Cues, Sharp Fall in Crude

Mr. Nandish Shah - Deputy Vice President, HDFC Securities

The index snapped its recent streak of alternating moves, rallying 312 points to close above the 24,000 mark and decisively surpassing the 50 DEMA placed at 24,006. It opened with a 221-point gap-up and sustained gains through most of the session, with momentum picking up further in the final hour, adding nearly 100 points. NSE cash market turnover also increased by 5% compared to the previous session.

Within the Nifty pack, Eicher Motors, Adani Enterprises, and Bajaj Finance emerged as top gainers, while Max Healthcare, ONGC, and Hindalco were among the key laggards.

Sectorally, barring Nifty FMCG, all indices ended in the green. PSU Banks, Financial Services, Private Banks, and Auto stocks led the gains.

Broader markets rose sharply along with the Benchmark, with the Nifty Midcap 100 rising 0.94% and the Nifty Smallcap 100 advancing 1.37%. Market breadth remained firmly positive for the sixth consecutive session, with the BSE advance-decline ratio improving to 1.83, reflecting sustained buying interest in mid- and small-cap segments.

The Indian rupee extended its gaining streak for the third consecutive session, appreciating by 46 paise to close at a two-week high. The rally was supported by easing crude oil prices amid renewed optimism around a potential US-Iran agreement, along with encouraging remarks from the RBI Governor hinting at possible undervaluation in the domestic currency.

Technically, Nifty has decisively surpassed the crucial resistance of 23800 on closing basis, which has resulted in breakout from the consolidation pattern. The next resistance levels are placed at 24,370 and 24,600, while the earlier resistance at 23,800 is now expected to act as immediate support.

Source : Equity Bulls

Keywords

Nifty HDFCSecurities Sensex MarketUpdate