Sensex, Nifty Edge Higher Led By Gains In Auto, Financial Services Shares

Nifty is likely to fill the gap and might test it’s 50-day moving average (DMA). On technical grounds, Nifty has an immediate resistance at 17,500, Nirmal Bang said

Abhishek Vasudev

Updated on: 16 February 2022 2:40 pm

The Indian equity benchmarks turned flat after staging a gap up opening on Wednesday as traders were seen booking profits at higher level after Tuesday strong bounce back, analysts said. The Sensex rose over 300 points and Nifty reclaimed its important psychological level of 17,400. However, the benchmarks soon erased their intraday gains on profit booking.

The Sensex rose 0.4 per cent or 233 points to 58,375 and Nifty 50 index advanced 0.53 per cent or 92 points to 17,444.

"After a positive move in yesterday’s session, Nifty is likely to fill the gap and might test it’s 50-day moving average (DMA). On technical grounds, Nifty has an immediate resistance at 17,500. If Nifty closes above that, further upside can be expected towards 17,640-17,750 mark. On the flip side 17,220-17,100 will act as strong support levels," brokerage firm Nirmal Bang said in a note to its clients.

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"Bank Nifty faces an immediate resistance around 38,540 levels on the upside and on a decisive close above expect a rise to 38,870-39,180. There is an immediate support at 37,900-37,550 levels," Nirmal Bang added.

Ten of 15 sector gauges compiled by the National Stock Exchange were trading higher led by the Nifty Realty index's 1.4 per cent gain. Nifty Oil & Gas, Media, Financial Services and Auto indices also rose between 0.4-1 per cent.

On the other hand, Nifty Bank, IT, Metal and Consumer Durable indices were trading lower.

Mid- and small-cap shares were witnessing buying interest as Nifty Midcap 100 index 0.48 per cent while Nifty Smallcap 100 index advanced 1.4 per cent.

HDFC Life was top Nifty gainer, the stock rose 2.3 per cent to Rs 586. Bharat Petroleum, Indian Oil, Mahindra & Mahindra, HDFC, Adani Ports, ONGC, Grasim Industries, Hero MotoCorp and Bajaj Auto were also among the gainers.

On the flipside, Larsen & Toubro, Tata Steel, Titan, Shree Cements, UltraTech Cement, State Bank of India, ICICI Bank, Wipro, Eicher Motors and Britannia Industries were among the losers.

The overall market breadth was positive as 2,239 shares were advancing while 638 were declining on the BSE.