Another all-time high for Nifty, Sensex up 100 points on positive global cues

The Nifty hit a new high of 22,297.50 and the Sensex traded 100 points up on positive cues. Rate cut predictions by Fed vice chair, Nvidia's stock surge and India's projected FY25 GDP growth of 6.5 percent continue to drive domestic equities, analysts said.

At 9.18 am, the Sensex was up 94.73 points or 0.13 percent at 73,253, and the Nifty was up 36.20 points or 0.16 percent at 22,253. About 1,882 shares advanced, 554 declined and 97 were unchanged. In the broader market, BSE midcap rose 0.4 percent and the smallcap jumped 0.7 pecent.

Investors must monitor global developments, especially since there are no major domestic events expected in the near term, analysts said.

All NSE sectoral indices were trading higher, with gains led by Nifty Realty which rose over a percent. Buying was also seen in PSU banks, media, metal and auto names.

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Fundamental view

Strong Q4 results and a positive outlook from American chipmaker Nvidia lifted global sentiment. HSBC Flash India PMI data for February showed manufacturing and services at a seven-month high, which helped the market to recover sharply.

"We expect this ongoing momentum to continue with markets attaining new highs," said Siddhartha Khemka, Head-Retail Research, Motilal Oswal Financial Services Ltd.

Bulls are in control and participants should continue with a “buy-on-dips” approach until the Nifty decisively breaks the 21,800 level, said Ajit Mishra, SVP - Technical Research, Religare Broking Ltd. "At the same time, we are seeing a mixed trend within the sectors, so participants should maintain extra caution in stock selection and prefer counters with higher relative strength," he said.

Technical view

On the daily charts, the Nifty found support in the 21,890– 21,840 zone, which coincide with the 50 percent Fibonacci retracement level (21,890) and the 20-day moving average (21,838).

"The hourly momentum indicator has triggered a fresh positive crossover and with the daily momentum indicator already having a positive crossover should provide speed to the upmove," said Jatin Gedia – Technical Research Analyst at Sharekhan by BNP Paribas.

"Both price and momentum indicators suggest continuation of the positive price action. On the upside,  the immediate hurdle is placed at 22,460 – 22,500 and on the downside, today’s low (21,875) shall act as a crucial support level. We expect Bank Nifty to continue with the upmove till 48,000 – 48,300 from a short-term perspective," he added.

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