Stock market today: After trading weak for the last nine straight sessions, the Indian stock market witnessed some early morning buying on Wednesday. The Nifty 50 index opened downside at 22,847 but soon gathered momentum and touched an intraday high of 23,049. While climbing to this Wednesday’s high, the 50-stock index turned green and regained the psychological 23,000 mark. Likewise, the BSE Sensex had a gap down opening, but the 30-stock index soon turned green and touched an intraday high of 76,338. The Nifty Bank index also had a weak opening at 48,895. However, the frontline index caught the bulls’ attention and touched an intraday high of 49,628 in the Opening Bell.
According to stock market experts, frontline indices are sustaining above their respective crucial supports. Despite weak trends on Dalal Street for the last nine straight sessions, the Nifty 50 index has sustained above 22,750 to 22,800 support as bulls initiated buying every time the 50-stock index tested this crucial support. The BSE Sensex also sustained above 74,800 support. They said that further rallying in the frontline indices could be the beginning or end of the bear market in India, provided the buying takes place across segments and indices. They said the participatory rally might improve the market bias once the Nifty 50 index closes above the 23,050 mark and the BSE Sensex ends above 76,600.
Stock market bottom-out prediction
On whether the Indian stock market is bottoming out, Mahesh M Ojha, AVP — Research at Hensex Securities, said, “Bulls are accumulating at lower levels, and we are witnessing the Nifty 50 and Sensex rebound from their current crucial support at 22,750 to 22,800 and 74,800, respectively. The BSE Sensex is facing a hurdle at 76,550 to 76,600, which in the Nifty 50 terms comes at 23,050.”
The Hensex Securities expert said Dalal Street’s mood may improve once these frontline indices breach this resistance on a decisive basis. However, it won’t be enough to establish that the Indian market has reached its bottom. This would remain a relief rally until the BSE Sensex breaks above 77,400 and the Nifty 50 index gives a fresh breakout at 23,800.
Disclaimer: The views and recommendations provided in this analysis are those of individual analysts or broking companies, not Mint. We strongly advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and individual circumstances may vary.
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