The benchmark equity indices ended Monday’s trading session in the positive territory. The NSE Nifty 50 soared 418.90 points or 2.07% to settle at 20,686.80, while the BSE Sensex jumped 1383.93 points or 2.05% to 68,863.93. Bank Nifty index rallied 1617.20 points or 3.61% to settle at 46,431.40.
The broader indices ended in positive territory, with gains led by Largecap and Smallcap stocks. Banking and Oil & Gas stocks outperformed among the other sectoral indices while Media and Pharma stocks shed.
The Indian Volatility Index (India VIX) closed up by 4.92 %.
“Markets witnessed fireworks at the beginning of the week and gained two percent, in continuation of the prevailing uptrend. Upbeat domestic cues combined with robust global markets triggered a gap start in the Nifty, which further strengthened as the day progressed. It eventually ended around the day’s high at 20684.80 levels. All sectors participated in the move wherein banking majors contributed the maximum to the gains. The broader indices also rose over a percent each,” said Ajit Mishra, SVP – Technical Research, Religare Broking Ltd.
Mishra also said that, the buoyancy in the banking pack is leading from the front now while others are playing a supportive role and we feel the same trend could continue in the coming days. Besides, cues are favorable from the global front too, further adding to traders’ comfort. On the index front, Nifty may take a breather around the 20,750 zone and expect the 20,300-20,400 zone to act as a cushion in case of any profit taking. We recommend staying with the trend and utilizing a dip or consolidation as a buying opportunity.
