Sensex ends above 53000 for first time. But avoid being complacent, say analysts
Premium- Nifty also closed at an all-time high
- The rupee however weakened today
Indian markets closed at record highs today with the benchmark Sensex jumped 194 points to finish above the 53,000-mark for the first time. Metal, finance and banking stocks led the gains but a weakening rupee and lacklustre global cues capped the rise. The Sensex climbed 193.58 points to close at 53,054. The broader NSE Nifty rose 0.39% to its record closing peak of 15,879.
The broader markets, midcap and small cap, mood remained buoyant as it too ended in a positive range of 0.6-0.7%. On the sector front, the majority of the indices ended with decent gains, except for auto and energy.
Tata Steel was the biggest gainer among Sensex stocks, rising over 4%, followed by Bajaj Finserv, IndusInd Bank, HDFC, Nestle India, Asian Paints, Sun Pharma and PowerGrid.
Global markets were mixed ahead of the FOMC minutes to be released later today, The rupee weakened by 7 paise to end at 74.62 against the US currency amid rising crude oil prices weighed on investor sentiment.
Deepak Jasani, Head of Retail Research, HDFC Securities.
"Nifty has closed at the all time high. It is just shy of the intraday high of 15915. The current momentum can take the Nifty past the previous high. Sectoral rotation continues while volumes remain subdued. On falls, Nifty could take support at 15818, while on rises, once the previous high of 15915 is sustainably breached, it could rise towards 15970."
Ajit Mishra, VP - Research, Religare Broking Ltd
"In the near term, Q1FY22 earning is likely to provide some direction to the markets, in absence of any major triggers. So, we remain cautiously optimistic and believe any correction at this juncture should be considered healthy as investors will get the opportunity to invest in quality counters on dips. Meanwhile, investors will keep a close watch on global cues."
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Shrikant Chouhan, Executive Vice President, Equity Technical Research at Kotak Securities
"We are of the view that the larger market structure is still positive and likely to continue in the near future if the market succeeds to trade above 15850/52900. Technically, the 20-day SMA or 15750/52500 should be the sacrosanct level for the market. Above the same, the uptrend texture is likely to continue up to 15930-16065/ 53300-53550. On the other side, the uptrend would be vulnerable if indices close below 15750/ 52500 or below 20 day SMA."
Sameet Chavan (Chief Analyst-Technical and Derivatives, Angel Broking
“As far as levels are concerned for Nifty, 15750 – 15700 is to be seen as a key support zone and on the higher side, 15900 remains a sturdy wall. Since last few days, individual themes have again started to perform well and hence, traders are advised to stick to stock centric approach; but at the same time, avoid being complacent."
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