After a negative opening, the index kept sliding down in the first half and made an intraday low at 15,459.85 levels. In the dying hours, the index bounced and closed with a moderate gain of 1 point at 15,576.20 levels. Bank nifty closed at 35,373 levels with a gain of 36.55 points.
On the sectoral front, Nifty Metal (2.18 percent) and Nifty Auto (1.82 percent) were the top gainers, while Nifty Financial Service and Nifty IT showed some profit booking. Stocks like UPL, Tata Steel, Adani Port, SBI Life and IndusInd Bank were the top gainers, whereas ITC, Tech Mahindra, Axis Bank and Kotak Bank were the laggards at end of trading on Wednesday.
Sumeet Bagadia, Executive Director, Choice Broking said, technically, the Nifty index has managed to close above 21 EHMA and sustained above prior resistance of 15,430 levels, that shows the positive trend will continue now and will act as a support for the market. "On an hourly chart, the Index has formed a bullish marabozu candle pattern which points out strength in the index. In addition, the hourly indicator MACD & Stochastic witnessed positive crossover, which suggests a bull-run for the upcoming session. At present, the Nifty seems to have an immediate resistance at 15,650 levels while support is placed at around 15,400 levels," he added.
Shrikant Chouhan, Executive Vice President, Equity Technical Research at Kotak Securities said, the markets ended at almost unchanged levels in a lacklustre trade, but it seems that a corrective pattern has been completed. The 15,460 level would act as significant support for Nifty and if it breaks the level it could fall to 15,430/15,330.
"The index would have closed below 15,500 today if not for gains in banks and auto sectors. Index giant Reliance was also the top performer and could close above Rs 2200 after 60 days. The Nifty could once again hit 15,650 and 15,750 levels and one can buy the index between 15,550/15,500 levels with a stop loss at 15,460," Chouhan added.
