Indian Markets Show Strength Amid Global Uncertainty
The Indian stock market opened on a positive note on Thursday, bolstered by buying in the PSU bank and financial services sectors. The broader market movement followed a mixed set of global cues, reflecting cautious optimism among investors.
Strong Opening for Sensex and Nifty
As of 9:45 AM, the BSE Sensex was trading 244.25 points higher, or 0.32%, at 76,415.33, while the NSE Nifty 50 climbed 79.25 points, or 0.34%, to reach 23,124.50. A total of 1,528 stocks on the National Stock Exchange (NSE) were in green, indicating positive sentiment, while 781 stocks were in red, suggesting some caution among traders.
The Nifty Bank index recorded an 85.65-point increase, translating to 0.17% growth, settling at 49,565.10. The Nifty Midcap 100 index inched up 35.55 points, or 0.07%, standing at 50,791.95. However, small-cap stocks witnessed a slight dip, as the Nifty Smallcap 100 index fell 37.75 points, or 0.24%, to 15,995.25.
Top Gainers and Losers in Early Trade
Within the Sensex pack, some of the biggest gainers included Zomato, Kotak Mahindra Bank, Sun Pharma, Adani Ports, Bajaj Finserv, M&M, Bajaj Finance, ITC, Infosys, Tata Steel, SBI, and ICICI Bank. These companies saw strong buying interest, supporting the index’s positive trajectory.
On the other hand, Titan, Tech Mahindra, Hindustan Unilever, IndusInd Bank, and NTPC emerged as the top losers, witnessing profit-booking amid the broader market uptrend.
Global Market Trends Impacting Indian Equities
Global market movements provided a mixed backdrop for the Indian stock market:
- U.S. Markets: The Dow Jones declined 0.50%, closing at 44,368.56. Meanwhile, the S&P 500 slipped 0.27% to 6,051.97, and the Nasdaq ended flat, up only 0.03% at 19,649.95.
- Asian Markets: Jakarta and China witnessed negative momentum, while Seoul, Bangkok, Japan, and Hong Kong traded in green, indicating a divergence in investor sentiment across the region.
Institutional Activity: FIIs Sell, DIIs Buy
Foreign Institutional Investors (FIIs) continued their selling spree on February 12, offloading equities worth Rs 4,969.30 crore. However, Domestic Institutional Investors (DIIs) acted as a stabilizing force, buying Rs 5,929.24 crore worth of stocks, thereby balancing the overall market sentiment.
Technical Analysis and Market Outlook
The previous session on Wednesday witnessed high volatility, with the Nifty rebounding strongly from an intraday low of 22,798. Despite initial weakness, the market managed to recover, ensuring a subdued but positive close.
Key Support and Resistance Levels
- Support Zone: 22,900-22,800
- Intermediate Resistance: 23,250-23,350
- Major Resistance: 23,400-23,500
Market expert Sameet Chavan, Head of Research (Technical and Derivative) at Angel One, noted that a further correction below 22,800 could disrupt the short-term technical structure. On the upside, if the Nifty surpasses 23,250-23,350, it could pave the way for further gains toward 23,400-23,500.
Similarly, Aakash Shah of Choice Broking advised traders to remain cautious and to wait for confirmation of price action before making fresh trading decisions.
Conclusion: Market Poised for Further Gains, but Caution Needed
The Indian stock market continues to showcase resilience, supported by institutional buying and strength in key sectors. However, global cues, foreign investor activity, and technical resistance levels will play a crucial role in determining market direction in the coming days. Traders and investors should exercise caution while navigating the current landscape, as volatility remains a persistent factor.
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