Bulls vs Bears: Here's what to expect on Dalal Street today

Benchmark indices ended higher for the fifth straight session on Thursday led by a surge in capital goods and IT stocks. Sensex rose 284 points to 55,681 and Nifty ended 89 points higher at 16,610.

Mid cap and small cap indices rose 290 points and 238 points, respectively.

Capital goods, IT and banking shares were the top sectoral gainers, with their BSE indices rising 592 points, 221 points, and 212 points, respectively.

Market breadth was positive with 2,001 stocks ending higher against 1,337 stocks falling on BSE. 161 shares were unchanged.

The market cap of BSE-listed firms rose to Rs 260.46 lakh crore against Rs 258.13 lakh crore in the previous session.

Here's a look at what analysts said about the direction the market is likely to take today.

Rupak De, Senior Technical Analyst at LKP Securities

"The benchmark Nifty found resistance at the upper band of the rising channel, leading to brief profit-taking in the previous session. The momentum indicator has its upside up indicating ongoing positive momentum in the value. The trend is likely to remain positive as long as the Nifty remains above 16,500. On the higher end, immediate resistance is placed at 16,670-16,700."

Palak Kothari, Senior Technical Analyst, Choice Broking

"The Nifty may find support around 16,500 levels while on the upside 16800 may act as an immediate hurdle. On the other hand, Bank Nifty has support at 35,500 levels while resistance at 36900 levels. Overall, index has formed good support around 16,500 level while crossing above 16,800 level can show upside rally."

Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities

"Technically, on daily charts, Nifty has formed a bullish candle and closed above the 100-day SMA (Simple Moving Average), which is broadly positive. For traders, 16,500 would act as a key support level and above which the index could move up to 16,700-16,750. On the flip side, strong possibility of a quick short-term correction is not ruled out, if the index trades below 16,500. Below the same, the index could slip till 16,450-16,420."