After scaling its lifetime peak of 54,717.24 during the day, the 30-share index settled 123.07 points or 0.23 per cent higher at its record high of 54,492.84.
In similar movement, the broader NSE Nifty rose 35.80 points or 0.22 per cent to an all-time peak of 16,294.60. It touched an intra-day record of 16,349.45.
Bharti Airtel was the top gainer in the Sensex pack, surging around 4 per cent, followed by ITC, Tech Mahindra, Tata Steel and HCL Tech.
On the other hand, SBI, IndusInd Bank, Bajaj Finance and ICICI Bank were among the laggards.
"Nifty made a new all-time high of 16,349 today, but it took some resistance there and closed at 16,285. Nifty has been rising on low volumes in the last two days , which is a matter of concern. Nifty has a strong support at 16,200 and 16,150. As long as it holds above these support levels, we may witness 16,400 and 16,450 on Nifty in the next few days. Traders are advised to maintain strict stop loss on their trades to protect capital and preserve profits", said Gaurav Udani, CEO and Founder, ThincRedBlu Securities.
The Nifty made a classic doji after a rise on Wednesday (August 5), suggesting indecision at higher levels. Either one or two up gaps made in the course of journey from 15885 may come in for filling over the next few sessions, said Deepak Jasani, Head-Retail Research, HDFC Securities. Advance decline ratio was very bad in the morning session, but improved a bit towards the end to look better than the previous day, though very much in the negative. 16,176-16,349 could be the trading band for the Nifty in the next one or two sessions.
Palak Kothari, Research Associate, Choice Broking said, "Technically, the index has been trading in the Higher Highs Higher Lows pattern for the 6th consecutive day which suggests further upside movement in the counter. The Nifty50 closed above the previous close, indicating that the trend is bullish, and there are chances for Nifty to see levels of 16500 in the near term. Overall, the index is trading above Upper Bollinger Band & Ichimoku Cloud formation, which suggests a long upward move in the counter. A momentum indicator RSI & MACD is showing positive strength & Stochastic is also trading higher with positive crossover on the daily chart, which indicates a further bullish move. At present, the Nifty50 support shifted up to 16,100 levels while resistance may come around 1,6400 levels."
Shrikant Chouhan, Executive Vice President, Equity Technical Research, Kotak Securities Ltd, said, "Technically, the larger texture of the market is positive and is likely to continue in the medium term. However, some profit booking at higher levels is not ruled out near 16,350-16,375 resistance levels. Trade setup suggests that the ideal strategy would be to add long positions near crucial supports. For the swing traders, 16,200 and 16,160 would be the key support level to watch out, and below the same the index would be vulnerable at 16,160 level."
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