Dalal Street ends in green; Chartists say Nifty needs to breach 14,900 for bulls to return

After hoping between gains and losses for most of the day, domestic benchmark indices managed to close the day’s trade in the positive territory. S&P BSE Sensex ended 42 points higher at 49,201 while the 50-stock NSE Nifty ended at 14,683. Asian Paints was the top-performing Sensex constituent, followed by Sun Pharmaceuticals, HUL, and Dr Reddy’s. Among the laggards were top banking stocks such as ICICI Bank, Axis Bank, and SBI. Bank Nifty closed in the red yet again while broader markers outperformed even the benchmarks. India VIX, the volatility index slipped 1.76% to settle at 20.84.

Deepak Jasani, Head of Retail Research, HDFC Securities

“After a sharp sell-off in the previous session, Indian benchmark equity indices ended marginally higher on April 6 amid some volatile moves. Nifty has formed an inside day compared to the previous session’s high-low, suggesting no fresh directional clues. The intraday volatility has however become smaller which is a good sign. Greater participation of small and midcaps has resulted in a healthy advance-decline ratio. 14574-14876 could be the band for the Nifty for the near term.”

Manish Hathiramani, Proprietary Index Trader and Technical Analyst, Deen Dayal Investments

“The Index is trading in a range between 14450 and 14900. The markets have been trading in a confused state since the last few trading sessions. If we get past 14950 we can go ahead achieve 15300. On the flip side if we break 14450 we can drop further to 14200. Until either side is not taken out, we will continue to trade sideways with lackluster volumes.”

Ashis Biswas, Head of Technical Research at CapitalVia Global Research

“The market failed to show resilience to stay above the Nifty 50 Index level of 14800. Our research suggests that technical factors are aligned to support a short-term consolidation in the near future, followed by an attempt of a breakout above the 14900, sometimes mid of the month. As the immediate support is visible at level 14440, we expect any corrective wave-down to find support around 14400- 14450.”

Manish Shah, Founder, Niftytriggers

“It was a flat trading day and the pattern play is in an inside day pattern that has the narrowest range of the last couple of days. Volatility is getting squeezed. We expect that volatility will sooner or later expand as volatility is the top frontline index can be lateral for a long period of time. A break above 14900 is needed for the market to move higher. If Nifty does resolve to move beyond 14900 expect an explosive move on the upside.”

Vinod Nair, Head of Research at Geojit Financial 

“Market is attempting a strong pullback from yesterday’s low as the announced lockdown is unlikely to really dampen the economic growth trajectory. There is a great hope that economic restrictions, summer season and vaccination will lead to a fall in covid cases. The pullback is also supported by a strong rally happening in global markets. The domestic market was awaiting the RBI policy with an expectation to maintain the status quo, future commentary on growth & inflation will be highly viewed with an optimistic outlook on FY22.”

S Ranganathan, Head of Research at LKP Securities 

“While the Indices were more or less flat in Tuesday’s trade it was a BIG day indeed for Midcaps were not only the Midcap 100 but also a host of them across sectors displayed stellar up moves on renewed investor appetite. While the tussle between the Virus and the Vaccine continues to add to the volatility, savvy investors were seen accumulating Midcap stocks having higher growth prospects.”