Where is share market headed after Nifty ends above 18810, Bank Nifty above 43760; check support, resistance

Where is share market headed after Nifty ends above 18810, Bank Nifty above 43760; check support, resistance

Benchmark indices NSE Nifty 50 and BSE Sensex recovered all the intraday losses and ended Tuesday’s session broadly in green. The NSE Nifty 50 surged 61.25 points or 0.33% to 18,816.70 and BSE Sensex soared 159.40 points or 0.25% to 63,327.70. In sectoral indices, Bank Nifty gained 132.75 points or 0.30% to 43,766.50, Nifty Auto rose 0.74%, Nifty IT was up 0.78% while Nifty Media fell 1.22% and Nifty Pharma dipped 0.19%. The top gainers on Nifty 50 were Tata Motors, HCL Tech, Power Grid, HDFC Life and Eicher Motors while the losers were Bajaj Finance, Bajaj Finserv, Sun Pharma, Mahindra & Mahindra and BPCL.

“The Indian market opened cautiously due to weak global cues, with heightened concerns over the Chinese economy following their decision to cut interest rates after a 10-month pause. Global worries were amplified by concerns of a possible rate hike by the US Fed in its July meeting, with investors eagerly awaiting Powell’s testimony. However, the indices managed to recover smartly, led by an upside in IT and Auto stocks,” said Vinod Nair, Head of Research at Geojit Financial Services.

Bank Nifty may rise to 45000 if it manages to surpass 44000

“Bank Nifty saw the bulls hold a support level of 43400. Currently, the index is trading within a broad range between 43400 and 44000. A breakout on either side of this range is likely to result in trending moves. As long as the support level of 43400 is held, a buy-on-dip approach is suggested. Once the index surpasses the level of 44000 it will witness sharp short covering on the upside towards 45000 levels,” said Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities.