Closing Bell: Market ends with marginal gains amid volatility; auto, PSU banks rally
Jatin Gedia, Technical Research Analyst, Sharekhan by BNP Paribas
Nifty witnessed a day of consolidation and closed with marginal gains. On the daily charts we can observe that the Nifty for the whole day consolidated in the zone of 17,310 – 17,430 where crucial Fibonacci retracement level (17,429) and the 40-day moving average (17,406) is placed.
After a sharp up move in the previous couple of trading sessions, a consolidation is a healthy sign and also provides an opportunity to enter for those who have missed out.
The hourly momentum indicator has triggered a negative crossover which is a sell signal.
Considering that prices are trading around a hurdle level and the momentum indicator triggering a negative crossover can lead to a consolidation.
Overall, the uptrend is intact and this consolidation should be used as an opportunity to initiate fresh longs.
On the upside, the immediate short-term target is placed at 17,500.
Vinod Nair, Head of Research at Geojit Financial Services
Investors were of the view that the easing price pressure would provide the central bank with leeway to pause the rate hike.
However, the surprise production cut by OPEC+ has fuelled concerns about inflationary pressure, which may prompt central banks to remain hawkish.
The downside pressure in the market was mitigated as auto stocks rallied in response to the latest sales data, indicating a surge in demand. Additionally, India’s manufacturing PMI exceeded expectations, demonstrating its swiftest growth rate in three months due to increased output and new orders.
Rupee Close:
Indian rupee closed 16 paise lower at 82.33 per dollar against Friday’s close of 82.17.
Market Close:
Benchmark indices ended marginally higher in the volatile session on April 3.
The Sensex was up 114.92 points or 0.19% at 59,106.44, and the Nifty was up 38.20 points or 0.22% at 17,398.
About 2692 shares advanced, 846 shares declined, and 121 shares unchanged.
Hero MotoCorp, Coal India, Bajaj Auto, Maruti Suzuki and Eicher Motors were among the biggest gainers on the Nifty, while losers were BPCL, Apollo Hospitals, Adani Enterprises, ITC and Infosys.
On the sectoral front, auto and PSU Bank indices gained 1 percent each and realty index up nearly 1 percent, while selling was seen in the FMCG, metal, power, oil & gas and information technology stocks.
The BSE midcap index was up 0.4 percent, while smallcap index rose 1 percent.
ByMoneycontrol
