The Sensex skyrocketed 976 points on Friday, led by gains in index heavyweights HDFC twins, ICICI Bank and SBI as steady earnings reported by key financial stocks lifted investor sentiment. The 30-share BSE index ended 975.62 points or 1.97 percent higher at 50,540.48, and the broader NSE Nifty soared 269.25 points or 1.81 percent to 15,175.30.
Buying interest was strongest in the financial stocks, with the Nifty Bank (3.82 percent) and Nifty Financial (3.21 percent) indices making the strongest gain. Sumeet Bagadia, Executive Director, Choice Broking said, "Technically, the Nifty has given the breakout of its falling trendline as well as upper band of Bollinger formation which points out strength in the counter. Moreover, the Index has formed Bullish Marabozu candle on the weekly chart, which suggests upside movement in upcoming sessions. And oscillator Stochastic & MACD also suggested positive crossover on the daily time-frame which further added strength in the counter. At present, the Nifty index is holding support at 15,000 levels while an upside resistance seems at 15,300 levels," he added.
Sensex rallied over 1,000 points and crossed 50,000 mark and Nifty 50 topped 15,000 amid positive Asia trade after Wall Street rebound as traders weighed the economic recovery from the pandemic as well as the possibility of reduced US stimulus.
Beaten down real estate stocks are witnessing fresh buying today on account of soft interest rate and hope of re-opening lockdown, said Mohit Nigam, Head, PMS, Hem Securities. "Oil marketing companies like HPCL, BPCL reacted positively as Brent crude fell to nearly $65 a barrel after sliding more than 6 percent over the past three sessions," he said.
Shrikant Chouhan, Executive Vice President, Equity Technical Research at Kotak Securities said, Nifty and Bank-Nifty closed at the highest level of the last four weeks. The Nifty Midcap index closed in the "blue sky" after consolidating for nearly 10 weeks. "Based on the weekly and daily establishment of the market where it has crossed the short term averages and a swing high at 15,150 with strong market width, we can conclude that the market is on the way to cross 15450 in the next few days or a few weeks. Above the level of 15,450, it will arrest at 15,600/15,650. The Bank-Nifty is heading for the 36,500 levels,;" he added.
