Indian benchmark indices snapped three-day shedding streak and ended increased on Thursday, month-to-month F&O expiry day, amid constructive world cues. While the BSE Sensex closed 503.27 factors or 0.94% increased at 54,252.53, NSE Nifty 50 settled 144.40 factors or 0.90% up at 16,170.20. Nifty Bank index rose 2.2% and shut store at 35,094. Sectorally, the Nifty PSU Bank and Metal indices lead good points with 3 per cent and a couple of.67 per cent rise, respectively. On the draw back, Nifty FMCG led to crimson, down 0.2%. In the broader markets, BSE midcap index rose 1.4% and smallcap index closed 0.78% increased. Market are more likely to stay extremely risky in near-term persistent FII promoting, inflation fears. Investors can use dips as shopping for alternatives to build up high quality shares, mentioned analysts and consultants.
Palak Kothari, Research Associate, Choice Broking
“On a monthly expiry day index finally managed to close in green note after three days losing streak. The Nifty has formed the Hammer candlestick pattern on a daily time frame which indicates reversal movement momentum for an upcoming session. Moreover, the nifty has taken support from the previous horizontal line and showed back movement crossing above 16,410 level showing fresh buying in the counter. In addition, Nifty has given a closing above 9-Day Moving Average which indicates a bounce back moment in the counter. However, the momentum indicators MACD & Stochastic were trading with a positive crossover & reversed from oversold zone on a daily chart which suggest a northward journey in the counter. The Nifty may find Strong support around 15,900 levels, while on the upside 16,300 may act as an immediate hurdle. On the other hand, Bank nifty has support at 34400 levels while resistance at 35,500 levels.”
Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities
“Markets witnessed healthy short covering towards the closing hours that helped key indices to reverse the 3-day losing streak. With the US FOMC minutes out of the way now, the market is more or less getting prepared for the likely rate hikes, and hence we saw strong buying on the F&O expiry day. While we may see bouts of selling going ahead due to other negative factors like higher inflation, continuous FII selling, & the Russia-Ukraine conflict, relief rallies will still be seen amidst volatility.”
Deepak Jasani, Head of Retail Research, HDFC Securities
“Nifty went towards the pattern of the earlier 4 periods on May 26 and construct on its early good points to the top to shut handsomely within the inexperienced. Global shares have been combined Thursday as merchants weighed Federal Reserve minutes that struck a much less hawkish word with downbeat remarks on China’s economic system by Premier Li Keqiang. Ratings company Moody’s Investors Service has lowered its progress forecast for India for the present calendar yr by 30 foundation factors from 9.1% to eight.8%. For the following yr, the company has retained its forecast of 5.4%. A transfer above 16,263 may end in acceleration on the upside for the Nifty whereas the low of the day i.e. 15,904 shall be essential to be protected.
Mohit Nigam, Head – PMS, Hem Securities
“Overall we believe that market volatility may remain at elevated levels and investors should maintain a cautious stance. One can use these dips to start making new positions in fundamentally good stocks but in a staggered manner. We believe FED’s and RBI actions in June will be an important factor that may decide the direction of the market in the short term. Immediate support and resistance for Nifty are 16,000 and 16,400 respectively. Immediate support and resistance for Bank Nifty are 34,500 and 35,500 respectively.”
Source: www.financialexpress.com”