Sensex Settles Near 71,950, Nifty Above 21,700 Led By Reliance, HDFC Bank: Market Wrap
The Nifty 50 ended 385.00 points, or 1.80%, higher at 21,737.60, and the Sensex jumped 1,240.90 points, or 1.76%, to end at 71,941.57.
Equity benchmark indices ended the first day of the week with their biggest single-day gains since Dec. 4, with index heavyweight Reliance Industries Ltd. contributing the most to the gains.
The Nifty 50 ended 385.00 points, or 1.80%, higher at 21,737.60, and the Sensex jumped 1,240.90 points, or 1.76%, to end at 71,941.57.
“The surge in the Nifty 50 can be largely attributed to investors' optimism in anticipation of the upcoming interim budget, where significant allocations are expected in key sectors like infrastructure and energy," said Sonam Srivastava, smallcase manager at Wright Research.
"In one go, the index (Nifty 50) has breached its multiple hurdles of 21,500 and 21,700 and formed a strong bullish candle on the daily chart; however, we assume that Nifty may witness some pressure around 21,750," said Aditya Gaggar, director at Progressive Shares.
"It is premature to say, but there is a possibility of forming an inverted head and shoulder pattern. The immediate resistance is placed at 21,850, while the downside seems to be protected at 21,570," he said.
Most sectoral indices ended in the green with Nifty Energy and Nifty Oil & Gas surging more than 5%. Nifty Media and Nifty FMCG fell.
The broader markets rose in line with the benchmark indices. The S&P BSE Midcap closed with 1.63% gains and the S&P BSE Smallcap ended 1.00% higher on Monday.
On BSE, 17 out of 20 sectors declined, while three advanced. The S&P BSE Utilities rose the most among sectoral indices.
Market breadth was skewed in favour of the buyers. Around 2,271 stocks rose, 1,649 stocks declined, and 144 remained unchanged on BSE.
