The market regained some of the previous session’s losses to end higher on August 9 amid volatility. At close, the Sensex was up 125.13 points, or 0.23 percent, at 54,402.85, and the Nifty was up 20.10 points, or 0.12 percent, at 16,258.30.
“The market witnessed some lacklustre movement and an attempt to hold the support level around the Nifty 50 index level of 16,200,” said Ashis Biswas, Head of Technical Research at CapitalVia Global Research. In the short term, it is crucial that the market sustains above 16,200.
“Sustaining above 16,200, the market expects to gain momentum, leading to an upside projection till 16,450-16,500 level. The momentum indicators like RSI and MACD indicating a positive outlook to continue,” he added.
On the sectoral front, Nifty metal and PSU bank indices lost 1.5-1.8 percent.
The broader indices underperform the main indices, with midcap and smallcap indices falling 0.6-1 percent.
M&M, Tech Mahindra, Axis Bank, Bajaj Finserv and IndusInd Bank were the top Nifty gainers. Tata Consumer Products, Coal India, Adani Ports, SBI Life Insurance and Bharti Airtel were among the top gainers.
Stocks & sectors
On the BSE, the metal and oil & gas indices shed 1.2-1.5 percent, while bank and IT indices ended in the green.
Among individual stocks, a volume spike of more than 600 percent was seen in MRF, IRCTC and PVR.
A long buildup was seen in Tech Mahindra, Power Grid, Cummis India, while a short buildup was seen in Strides Pharma Science, Vodafone Idea and Motherson Sumi.
More than 350 stocks, including KPIT Technologies, Jindal Poly Films, Goldiam International and Cummins India, hit a 52-week high on the BSE.
The Nifty has formed a small-bodied candle with a long lower shadow which indicates that declines are being bought.
“It has to hold above 16,200 zones to witness an up move towards 16,400 then 16,500 zones, while on the downside, support is seen at 16,150 then 16,000 levels,” said Chandan Taparia, Vice President | Analyst-Derivatives at Motilal Oswal Financial Services.
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