Global markets haven't been supportive while the domestic cues are pointing to volatility.
The market made a recovery after a volatile trading session to close in the green with several blue chips announcing their second quarter performance during the trading session. Infosys recovered after dipping further to Rs 615 intraday, as it closed at Rs 650.75 up 1.16 per cent which boosted market sentiments.
The Sensex closed 94.99 points up at 39058.83 gaining 0.24 per cent while the broader Nifty-50 index closed just 15.75 points or 0.14 per cent up at 11,604.10. The broader market too closed flat with BSE Mid Cap Index down 0.08 per cent while the BSE Small Cap Index was up 0.25 per cent.
Profit taking continued for the second session by the domestic institutions as well as the foreign portfolio investors as they were net sellers of equities worth Rs 137.38 crore and Rs 213.23 crore respectively as per the provisional data.
Mustafa Nadeem, CEO, Epic Research, said, “Nifty seems to be struggling at 11700 because it is an important swing high. Global markets haven't been supportive while the domestic cues are pointing to volatility.
“The earnings are yet to come from some of the heavyweights like SBI and Maruti. So the market is actually seen oscillating between a range of 11,700 and 11,500. With that, we have seen Infy weighing on the Index as it fell almost 15 per cent. A rebound today helped the index to sustain the lower levels.
“This is a very important level for Nifty and important in the sense as it will give us a short term view for the next few weeks. Above 11,700 we don't see any resistance till 12,000 or previous all-time high and if we are not able to take out 11,700, the bears may take advantage of a low-risk opportunity. So this is going to be a tug of war and whoever wins at this point may be controlling the index for the next few weeks.”
Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services, said, “Market was lacklustre, with Nifty closing marginally in green at 11,604, amid weak global cues and FPIs outflow. Market sentiments turned a little negative as hopes are waning on conclusion of Brexit deal by next week...Market is also cautious ahead of state assembly poll results.”