Nifty, Sensex End Higher For Fourth Day Led By ICICI Bank, Kotak Bank: Market Wrap
The NSE Nifty 50 ended 0.15% higher at 22,402.40, and the S&P BSE Sensex gained 0.16% to close at 73,852.94.
India's benchmark stock indices ended higher for the fourth session on Wednesday, led by gains in Kotak Mahindra Bank Ltd., ICICI Bank Ltd., and Larsen & Toubro Ltd.
The NSE Nifty 50 ended 34.40 points or 0.15% higher at 22,402.40, and the S&P BSE Sensex gained 114.48 points or 0.16% to close at 73,852.94.
Intraday, the NSE Nifty 50 rose 0.48% to 22,476.45, and the S&P BSE rose 0.52%.
"Late selling at higher levels erased the majority of the Nifty 50 gains to settle at 22,402.40, with gains of 34.40 points," said Aditya Gaggar, director, Progressive Shares. "Nothing has changed in Nifty50, and we continue to stick to our view, i.e., we need to fill the 22,430–22,500 gap zone to extend its uptrend, while a level of 22,200 (50DMA) will continue to act as support."
"Technically, the Nifty/Sensex has hovered between 22,350/73,700 and 22,475/74,100 for the last two days. However, the market's short-term texture is still favourable," said Shrikant Chouhan, head of equity research at Kotak Securities. "We believe that if the Nifty/Sensex slips below 22,350/73,700, we could see one quick intraday correction to 22,230-22,200/73,400-73200."
"On the flip side, 22,475/74,100 would be the immediate breakout level for the bulls. Above which, the market could move up to 22,600–22,675/74,500–74,700. The current market texture is non-directional; hence, level-based trading would be the ideal strategy for day traders," he said.
"Indian markets lagged the Asian peers as Q4 earnings remained largely subdued, with weak results from IT and a few index heavyweights also disappointed. However, buoyed by strong manufacturing and service sectors, the Indian composite PMI hit a multi-year high, reflecting domestic resilience and bringing some buoyancy to the broad market. Globally, investor sentiment improved with easing tensions in the Middle East and declining oil prices," said Vinod Nair, head of research at Geojit Financial Services.
Kotak Mahindra Bank Ltd., ICICI Bank Ltd., Larsen & Toubro Ltd., Tata Steel Ltd., and HDFC Bank Ltd. contributed to the index.
Reliance Industries Ltd., Tata Consultancy Services Ltd., Bharti Airtel Ltd., and Infosys Ltd. limited gains in the index.
On NSE, eight sectors advanced and four declined. The NSE Nifty Metal index was the top gainer, while the NSE Nifty IT index was the top loser.
Broader markets outperformed benchmark indices. The S&P BSE Midcap ended with 0.92% gains and the S&P BSE Smallcap settled 0.79% higher on Wednesday.
On BSE, 18 sectors advanced and two declined. The S&P BSE Metal index was the best performing sector, while the S&P BSE Telecommunication was the worst performing sector.
Market breadth was skewed in favour of the buyers. Around 2,254 stocks rise, 1,561 stocks declined, and 114 stocks remained unchanged on BSE.