IGI Logo

Below the Quote on Post Market Comment by Mandar Bhojane, Research Analyst, Choice Broking

The Indian stock market closed on a positive note, extending its gains for the third consecutive session. Both benchmark indices managed to hold onto their support levels, with the Nifty 50 rising by 0.42% to close at 23,311.80 and the Sensex gaining 318.74 points, or 0.42%, to settle at 77,042.82. Despite early bullish momentum, the Nifty faced selling pressure towards the end, managing to close marginally above its intraday support level of 23,300.

On the technical front, the Nifty continues to consolidate around its crucial support at 23,200. Today’s close above 23,300 has bolstered near-term bullish sentiment. A breakout above the key resistance level of 23,400 could trigger a rally toward 23,600 and 23,800, especially as the RSI at 39.04 signals improving buying momentum. However, market participants should remain cautious amid Q3 corporate earnings announcements, which could amplify volatility. A downside breach below 23,100 may open the door for further declines to 22,800 and 22,600.

In sectoral and stock-specific movements, HDFC Life Insurance led the gainers with a strong rise of 7.94%, supported by gains in BEL, SBILIFE, and Shriram Finance. Conversely, Trent, Dr. Reddy’s Laboratories, and TCS were among the top laggards. 

The India VIX, a barometer for market volatility, increased by 1.36% to close at 15.46, reflecting heightened market uncertainty. Derivatives data showed the highest call open interest (OI) at the 23,350 and 23,500 strike prices, while the highest put OI was concentrated at the 23,300 strike price. This indicates potential resistance at 23,350 and a bullish bias if the Nifty sustains above this level in the coming sessions. 

Overall, the market remains poised for directional movement, with global cues and corporate earnings acting as key triggers.

Above views are of the author and not of the website kindly read disclaimer