Trade setup for Thursday: Reversing the losses incurred on Monday session, Indian stock market outperformed Asian markets on Tuesday. Nifty 50 index opened with an upside gap and kept rising throughout the day, closing at almost the intra day high of 17,759, 446 points or 2.58 per cent higher. BSE Sensex skyrocketed 1564 points and closed at 59,537 whereas Bank Nifty index shot up 1260 points and closed at 39,536 levels. Volumes on the NSE were the highest in more than a week. Among sectors realty, power, banks, oil & gas and auto indices rose the most. Broader market underperformed, however, the advance decline ratio was sharply positive at 2.96:1.
Though, Dalal Street was closed for Ganesh Chaturthi festival, global markets remained opened on Wednesday. On Wall Street, Dow Jones shed 0.80 per cent, Nasdaq went off 0.56 per cent, S&P 500 lost 0.78 per cent whereas Small Cap 2000 slipped 0.366 per cent.
In early morning deals on Thursday, Japanese Nikkei is down 1.61 per cent, Hong Kong’s Hang Seng is trading flat and quoting 0.03 per cent higher from its Wednesday close while Chinese Shanghai is down by 0.17 per cent.
In early morning session on Thursday, SGX Nifty is down 70 points at 17,451 levels that signals weak to flat opening of the Indian stock market today.
“Nifty has nullified the bearish signals from the downside gap created on the previous day and has filled that downside gap. It has closed at the highest ever on monthly charts. It will now face resistance at 17965-17992 band while 17522-17623 band could offer support,” said Deepak Jasani, Head of Retail Research at HDFC Securities.