New Delhi: Bulls successfully regained control from bears, pushing Nifty back above the 20,000 mark. Notably, it closed above this threshold, marking a historic closing high for Nifty, says Rupak De, Senior Technical analyst at LKP Securities.
The Nifty 50 index climbed 75 pts to close at 200,70, while the S&P BSE Sensex rose 250 pts to close at 67,466. Thirteen of the 15 Nifty sectoral indices ended in the green in today’s session.
The prevailing sentiment remains optimistic, contingent on put writers safeguarding the 19,900 level. A drop below 19,900 could unsettle put writers, potentially triggering market corrections.
On the upside, the 20,100-20,150 range is poised to act as resistance. A clear breakthrough above 20,150 might propel Nifty into a sustained upward trend, De said.
Vinod Nair, Head of Research at Geojit Financial Services said the domestic indices resumed its upward trajectory despite weak global cues. The cooling of domestic CPI inflation to 6.83 per cent in August and the rise in industrial production data reaffirmed the robustness of the Indian economy.
The contraction in the UK economy and rise in oil prices have created a level of uncertainty in the global market. Also, investors await US inflation data today, which holds global significance as it will provide insights into the Fed’s policy outlook, he said.