3554: Hot Stocks | Healthy returns in HDFC Bank, Radico Khaitan possible in short term, here's why
The bulls roared on Dalal Street as the Nifty closed above 17,900. Except IT, pharma, and power, all other sectoral indices ended in the green with auto, bank, metal, realty and oil & gas indices up 1-2 percent. The BSE Midcap index added 0.36 percent, while the Smallcap index ended on a flat note. The Nifty50 closed at 17,925 and the BSE Sensex at 60,233.
The Nifty has given a breakout of descending broadening wedge formation and the next resistance will be around 18,000-18,050 levels. On the downside, supports have been now placed at 17,750-17,800. The index is traveling above its short and medium-term moving averages which is a positive sign and the participation from largecap counters is what gives confidence to investors.
Though the global markets had mixed cues ahead of the release of the US Federal Reserve meeting minutes, on the domestic front traders are more hopeful with the RBI's decision to keep the reverse repo rate unchanged in the next policy amid an increase of corona cases.
The major contribution has come from Bank Nifty which has given nearly 4,000 or 12 percent from the recent bottom in the last couple of weeks. The move seems to continue if it breaks and sustains above 38,000 levels.