Indices closed positive for 7 consecutive sessions; Metal and Banks supported the rally

Metal, Banks and Auto outperformed the Nifty while IT sector corrected before the TCS results, which will be due on tomorrow

Market update at 3.30 PM:   

Nifty closed around day’s high after filling the opening gap. It closed higher around 98.2 points or 0.56 per cent to close around 17,722 level.  

S&P BSE Sensex also closed green with more than 300 points. Nifty Midcap 100 and Nifty Small cap 100 rallied 0.50 per cent and 0.41 per cent respectively.   

Sectors like Metal, Banks and Auto outperformed the Nifty while IT sector corrected before the TCS results, which will be due on tomorrow.            

JSW Steel, Kotak Bank and Bajaj-Auto are the top gainers while Infosys, Asian Paints and TCS were the top losers amongst Nifty 50 stocks.       

Finally, Bulls crossed the important resistance of falling trendline on daily charts and closed around the day high levels. Further up move can be seen in indices if it sustains above today’s opening levels.

Market update at 11.35 AM: Indices have been trading on a positive note amid strong volatility. NSE Nifty 50 index has jumped 0.38 per cent to trade at 17,700 levels while S&P BSE Sensex has surged over 200 points. Nifty Midcap and Nifty Smallcap have risen 0.24 per cent and 0.38 per cent respectively.   

Banks, NBFC and Metal sectors are the top performers and have seen fresh buying interest. Meanwhile, Nifty IT has dipped by over a per cent amidst profit booking.   

About 1393 stocks are advancing as against 623 stocks that are declining, thus showing positive market breadth.  

Kotak Mahindra Bank, JSW Steel and Eicher Motors are the top gainers from the Nifty 50 stocks while Infosys, TCS and Tata Motors are weak today.   

Market update at 9.30 AM: Indices have been trading higher upon opening. NSE Nifty 50 index has jumped 0.45 per cent to trade at 17,700 levels while S&P BSE Sensex has soared 250 points. Strong buying interest is seen across the broader market.  

All the sectors are trading in green, while the IT index is nearly flat. India VIX has slipped nearly 1 per cent amid such positivity.  

Pre-market update:    

The Dow Jones Industrial Average rallied 101 points or 0.30 per cent in a consolidation zone to close at 33,586 level and Nasdaq 100 Index closed flat after strong rebound from gap down opening on Tuesday’s session. Meanwhile, CBOE VIX rose around 1.5 per cent. 

In global commodities market, Gold dropped around 0.8 per cent to touch its trendline support zone and Silver traded flat in its previous small consolidation range. 

Brent crude futures are consolidating in a smaller range just below the important technical level. Move beyond this range can set the next direction.  

On Monday's trading session, FIIs bought Rs 882.52 crore and DIIs also bought Rs 351.50 crore in equity segment. 

In Derivative segment as compared to previous session, Clients and DIIs unwinded their longs and added shorts in index futures. While on flip side FIIs added longs from last few sessions and also covered their shorts in last session. With this action FIIs index long positions now came to 21.86 per cent.  

PROs decreasing their participation from last 3 consecutive session by reducing both longs and shorts in index futures. 

As per this data, tug of war can be seen where Clients, DIIs and PROs are in BEAR camp and FIIs are in BULL camp. 

Now SGX Nifty indicates Nifty is likely to open gap up around 40 points. 

Yesterday, markets witnessed some profit booking from the day's high which is also an important resistance of the falling trendline on daily charts and closed around the opening levels. For the next up move Bulls have to surpass this resistance zone.