The broader market indices like the Mid-Cap and Small-Cap gained but underperformed the Sensex.
The market ended with huge gains on Tuesday for the second consecutive session. While the Sensex gained 481 points to close at 37535, the Nifty 50 Index ended 133.15 points or 1.19 per cent higher at 11301.2.
The broader market indices like the Mid-Cap and Small-Cap gained but underperformed the Sensex. The market breadth was positive on the BSE/NSE.
Sectorally, the top gainers were the realty, capital goods, bank and pharma. The top losers were the PSBs and IT.
According to analysts, technically, with the Nifty remaining in a short term uptrend, traders will need to watch if the Index can now hold above the immediate support of 11229-11264 band for further upsides in the near term. Immediate resistance is at 11320.
"The trend remains bullish; but since it has reached the higher end of the 'Megaphone' pattern, we may see a bit of consolidation or mild profit booking in next couple of days," says Sameet Chavan, Chief Analyst-Technical and Derivatives, Angel Broking.
Analysts are not advising investors to go short in the market. "For the coming session, 11340 - 11360 would be seen as immediate hurdle and on the downside, 11264 followed by 11227 is likely to act as a strong support zone," Chavan said.
The Bank Nifty touched all time high today in trade surpassing the previous high of 28388.65 made on August 28, 2018. This move was triggered by a rise in stock prices of corporate lending banks like Axis and ICICI both of which touched an all time high today apart from SBI and RBL Bank.
According to analysts, these stocks are buoyed by recent encouraging developments at NCLT/ NCLAT apart from expectation build up ahead of formation of the new govt post the Lok Sabha elections dates whereof were announced on Mar 10.
Also volatility has been falling over the last seven trading sessions and lower volatility is providing the comfort to bulls adding to the upward momentum. Analysts are advising investors are remain cautious after the huge upward movement.
"Considering a decent up-move over the last few sessions, some consolidation at higher levels cannot be ruled out in the near term, says Jayant Manglik, President - Retail Distribution, Religare Broking.