Where is share market headed after Nifty closes above 18720, Bank Nifty above 44270; check support, resistance

Where is share market headed after Nifty closes above 18720, Bank Nifty above 44270; check support, resistance

Benchmark indices NSE Nifty 50 and BSE Sensex ended Wednesday’s session broadly in green. The NSE Nifty 50 gained 127.40 points or 0.68% settling at 18,726.40 and BSE Sensex skyrocketed 350.08 points or 0.56% to 63,142.96. In sectoral indices, Bank Nifty soared 110.75 points or 0.25% to 44,275.30, Nifty FMCG surged 571 points or 1.12% to 51,609.40, Nifty Metal jumped 90.30 points or 1.51% to 6,057.75 and Nifty Realty zoomed 7.90 points or 1.59% to 506.30. The top gainers on Nifty 50 were Britannia, Tata Consumer, BPCL, Nestle India and HDFC Life while the losers were Kotak Bank, Cipla, Maruti Suzuki, Bajaj Finance and Adani Ports.

“Investors are becoming more optimistic due to the anticipation of a positive revision in the RBI’s inflation forecast during the ongoing MPC meeting. It is expected that the RBI will maintain its pause on rate hikes, considering the significant improvement in inflation, which has now come within the RBI’s comfort zone. Furthermore, the participation of FIIs as net buyers, after a brief halt, contributed to today’s market rally, particularly driven by mid and small-cap stocks,” said Vinod Nair, Head of Research at Geojit Financial Services.

“Nifty witnessed a fresh hourly breakout above 18650 levels which has now paved the way towards 18800-18850 levels. Bank Nifty has also managed to close above its swing breakout level of 44200 which if sustained can lead to a rise till 45000 levels. The immediate support is at 18630 levels for Nifty and 43900 for Bank Nifty. The trend for both the indices remains positive,” Gaurav Bissa added.