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Below the Quote On Post market comment by Mandar Bhojane, Research Analyst, Choice Broking

On March 6, the Indian equity markets closed on a strong note after a highly volatile trading session. The Sensex surged 609.86 points (0.83%) to settle at 74,340.09, while the Nifty 50 gained 207.40 points (0.93%) to close at 22,544.70. The broader markets also performed well, with the BSE Midcap index rising 0.6% and the Smallcap index advancing 1.6%.

The session witnessed significant fluctuations, beginning with a strong opening in the Nifty, followed by a 245-point decline, before staging a sharp 310-point recovery from the day’s low. This price action resulted in the formation of a bullish hammer candlestick on the daily chart, signaling a potential trend reversal. However, further confirmation is required to establish a clear directional move. Key support is positioned at 22,200, and a breakdown below this level could push the index toward 22,000. On the upside, resistance is seen at 22,600 and 22,800, with a sustained close above 22,800 potentially triggering a rally toward the 23,000–23,200 range.

Among the Nifty’s top gainers were Asian Paints, Coal India, Hindalco Industries, BPCL, and NTPC. Conversely, Tech Mahindra, Trent, Bharat Electronics, HDFC Life, and Kotak Mahindra Bank were among the major laggards. Sectorally, all indices closed in the green except the real estate sector. Notable gains were seen in FMCG, metals, oil & gas, and pharma, which advanced between 1–2%.

Market volatility, measured by India VIX, edged slightly higher by 0.05% to 13.72, indicating a degree of uncertainty. In the derivatives market, open interest (OI) data showed the highest call OI at the 22,600 strike, while the highest put OI was at 22,500. This positioning suggests that Nifty may encounter resistance near 22,600, with traders anticipating further gains if this level is breached. A sustained move above these key resistance levels will be crucial in determining the market’s next directional trend.

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