Indian Stock Market Shows Resilience, Closes Higher Despite Morning Downturn
Despite a downturn in the morning session, the Indian stock market showcased its resilience by demonstrating a significant recovery and closing higher on Monday. The Nifty 50 index concluded 48 points higher at 22,104, while the BSE Sensex ended 111 points higher at 72,776. The Bank Nifty index also surged 333 points and settled at 47,754. Cash market volumes on the NSE escalated to Rs.0.98 lakh crore, indicating strong trading activity.
Although the small-cap index ended slightly lower and the advance-decline ratio fell to 0.70:1, the overall market recovery is a promising sign for potential trades, highlighting the market’s resilience in the face of challenges.
Looking ahead to Tuesday’s trade setup, Ganesh Dongre, Senior Manager — Technical Research at Anand Rathi, provided insights on the outlook for the Nifty 50 index. He mentioned that if the index holds the support level of 21,800–21,900, upward movement can be expected in the upcoming days, with the next resistance level at 22,300. Dongre also noted the positive performance of various indices in the previous session, indicating potential short covering in the upcoming trading sessions.
On the Bank Nifty front, Dongre highlighted that the index witnessed short covering in the second half of the trading session and closed in positive territory. He identified the immediate resistance for Bank Nifty at 48,500 and support at 47,000 to 47,300 levels.
Sumeet Bagadia, Executive Director at Choice Broking, shared his outlook on the India VIX index, stating that it breached the resistance at 19, signaling further upside in the volatility index. The index is now facing a hurdle at the 22 mark, and a decisive breach could lead to a touch of the 25 mark in the near future.
Experts like Sumeet Bagadia, Ganesh Dongre, and Shiju Koothupalakkal also provided buy or sell recommendations for specific stocks, offering valuable insights for traders looking to make informed decisions in the market.
Overall, the Indian stock market’s resilience and recovery on Monday, despite initial challenges, indicate a positive outlook for potential trades and investors. As market conditions continue to evolve, consulting with certified experts before making investment decisions is strongly advised to navigate the rapidly changing landscape effectively.
