Reason Behind Stock Market Shine: There is a great recovery in the stock market since 2 days. After a heavy fall, on Wednesday, where the markets strengthened. At the same time, since morning on March 10, there is enthusiasm in Sensex and Nifty. Sensex strengthens around 1600 points in intraday today […]
Reason Behind Stock Market Shine: There is a great recovery in the stock market since 2 days. After a heavy fall, on Wednesday, where the markets strengthened. At the same time, since morning on March 10, there is enthusiasm in Sensex and Nifty. Today, the Sensex strengthened by about 1600 points in intraday and reached the level of 56242. At the same time, Nifty also crossed the level of 16750. Experts say that 23 big factors are working in the boom of the market. One is today the return of BJP in Uttar Pradesh and the party’s victory in 3 other states. At the same time, Russia and Ukraine crisis seems to be reducing a bit and crude has also softened. For the time being, the market will keep an eye on geopolitical risk and that will be the biggest factor in deciding its direction.
These are the factors behind recovery
Swastika Investmart Ltd. Research Head of Santosh Meena says that there is a recovery in the market for 2 days after the big fall. Today, the victory of BJP in UP has weakened the negative trigger like political uncertainty. In Uttarakhand, Manipur and Goa also, the BJP, which is already in power, seems to be returning. Another big reason is that Russia and Ukraine seem to be moving forward on the negotiating table. This may further weaken the geopolitical risk. Crude is also softening in the range of $ 112 to $ 115, which had gone up to $ 138 a barrel this week. Due to these reasons, the market has got support.
what to look at next
He says that the caste factor of BJP is very short term. Going forward, the eyes of the market will be on how Russia and Ukraine move forward on the discussion table. Because there is still uncertainty about this crisis. At the same time, US inflation numbers are to come today, which is already high. Inflation is estimated to be the highest in 5 decades and this is a big risk factor for the market. The eyes of the market will also be on the attitude of the central banks going forward.
The level of 17800 to 18000 is important for Nifty
Santosh Meena says that for Nifty technically now the level of 16800-17000 is the supply area. Below this is the Immediate Support Zone at the level of 16500-16400. Below this is the 16000/15500 critical support level. But if Nifty manages to manage the level of 17000 on the upside then it can move towards 17300/17500 which is the next resistance level.
what investors do
Short term investors should keep an eye on the behavior of the market around the level of 16800-17000 and make a strategy accordingly. On the other hand, if you are a long-term investor, then add quality stocks to your portfolio on the current decline. Talking about the sector, capital goods, infrastructure, real estate and financial sectors are looking better. However, rising commodity prices will remain a challenge in the near term. The IT sector has also become attractive after the recent correction. At the same time, HDFC Bank, Kotak Bank and ICICI Bank are looking better than the private banking sector.
(Disclaimer: Investment advice in Sector or Stock is given by experts. These are not the personal views of The Financial Express. Markets are risky, so take expert opinion before investing.)
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