Nifty recovers to end above 14,400. Here are key levels to watch in coming days

The NSE Nifty 50 index rose 0.77% to 14,406Premium
The NSE Nifty 50 index rose 0.77% to 14,406
 3 min read . Updated: 22 Apr 2021, 05:22 PM IST Staff Writer

Indian markets today ended higher after bouncing back from a near three-month low. Metal and financial stocks led the gains as investors looked past the massive surge in covid infections. The NSE Nifty 50 index rose 0.77% to 14,406 after falling to 14,151 in early trade. The BSE Sensex gained 375 points to finish at 48,080.

"Nifty opened lower and even broke below Tuesday's low bogged down by worries on rising infections. But that the opening cuts were not too deep, encouraged bargain hunters, who also took cues from fall in US Treasury yields as well as strength in the US as well as Asian equity markets," said Anand James, Chief Market Strategist at Geojit Financial Services.

TRENDING STORIESSee All

US pharma giant Pfizer Inc today said it is in talks with the Indian government for supply of its vaccines, adding it would set a not-for-profit price for them.

India today reported over 300,000 fresh coronavirus infections, the highest daily rise anywhere in the world. India is currently administering about 3 million doses a day.

Metal stocks rose 1.7%, with Tata Steel gaining 3.1% after its unit Tata Steel BSL reported a jump in quarterly net profit. Nifty Bank index rose 1.8%, with heavyweight HDFC Bank Ltd gaining 2.2%.

Analysts says that Nifty crossing 14500 levels will be crucial for any further upmove while a break of today's lows of 14,151 could trigger more downside.

Here are the key levels to watch in coming sessions:

Deepak Jasani, Head of Retail Research, HDFC Securities

MORE FROM THIS SECTIONSee All

Despite a surge in Corona cases, traders went in for bottom fishing on the weekly F&O expiry day, reversing a streak of two day loss. Volumes on the NSE were in line with recent averages. Nifty after making a new recent low of 14151, has made a bullish piercing pattern today. However crossing 14526 will be crucial for any further upmove. Advance decline ratio is in the positive suggesting that investors are comfortable holding on to and buying small and midcaps ahead of the results season."

Shrikant Chouhan, Executive Vice President, Equity Technical Research at Kotak Securities

"The Nifty/Sensex has formed a bullish piercing pattern by closing above the median of the previous day, which was at 14367/47958 levels that can be found at the end of a downtrend. Based on it, our strategy should be to create long positions with between 14350/47950 and 14300/47700 levels. On the higher side, we would see the levels of 14530/48500 and 14580/48650. A close above the levels of 14580/48650 would validate the formation of bullish reversal and in that case, the Nifty/Sensex may rally to even 14850/50000 levels where it has the biggest hurdle. On the other side, 14250/47690 and 14150/47200 would be major supports. Keep a final stop loss at 14150/47200 for creating any long position. Today the market breadth was healthy and it was mainly due to renewed buying interest in Financials. The Bank-Nifty closed at the highest point of the day. The focus should be on Financials and Metal stocks."

Rohit Singre, Senior Technical Analyst at LKP Securities.

"Again index showed a good pull back from its strong support and managed to close a day on a positive note at 14400 zone with gains of nearly one percent forming a bullish candle on the daily chart. On the higher side index has stiff hurdle at 14450-14500 zone if managed to sustain above 14500 then we may see the extension in current pullback towards 14700-14900 zone in near term but it failed to hold above 14500 zone then again profit booking can be seen from higher-end towards immediate support zone of 14350-14250 zone"

Manish Hathiramani, Proprietary Index Trader and Technical Analyst, Deen Dayal Investments

"The markets failed to break today's low of 14130 and zoomed up to close above 14400. Unless we do not break today's low and sustain below it for a couple of hours, the markets will not enter a bear phase. If it is successful in breaking the lows, we should be able to drift down to 13800. The upside is capped at 14550." (With Reuters Inputs)

Subscribe to Mint Newsletters
* Enter a valid email
* Thank you for subscribing to our newsletter.

Click here to read the Mint ePaperMint is now on Telegram. Join Mint channel in your Telegram and stay updated with the latest business news.

Close