The BSE Sensex climbed 152 points or 0.23% to settle at 65,780.26. The Nifty rose 46 points or 0.24% to end at 19,574.90.
Among the sectors, media and realty were the outperformers while mid and smallcap indices extended their streak of outperformance.
Here’s how analysts read the market pulse:
“While strong domestic factors are bolstering Indian equities, they have allowed them to withstand attempts by weak global peers to disrupt the mood. India’s service PMI stands strong at 60.2, highlighting sustained demand even amid inflationary pressures. Particularly, small and mid-cap stocks have been exceptional, reaching all-time highs. In contrast, the underwhelming Chinese service PMI has dampened hopes of an economic rebound in China, thus affecting global market sentiments,” said Vinod Nair, Head of Research at Geojit Financial Services.
“Nifty is consistently trading above the 50 and 20-day SMA (Simple Moving Average), and on intraday charts, it shows a higher bottom formation, which signals a positive outlook. The 19500 level emerges as the sacrosanct support zone for Nifty, and surpassing this, the index could potentially rise to 19620-19650. On the downside, if it drops below 19500, bulls might consider exiting long positions, potentially leading to a dip to 19450-19420,” remarked Jatin Gedia of Sharekhan.
That said, here’s a glimpse of key indicators for Wednesday’s action:US market
Wall Street‘s main indexes fell on Tuesday as higher Treasury yields weighed on some major growth stocks, while downbeat data on services activity in China stoked worries over demand in the world’s second largest economy.
The yield on the 10-year Treasury notes climbed to 4.23%, while two-year yield rose to 4.928% in the run-up to more economic data this week.
Major technology-linked stocks such as Apple, Amazon and Alphabet lost between 0.4% and 1.2%. At 9:50 a.m. ET, the Dow Jones Industrial Average was down 78.72 points, or 0.23%, at 34,758.99, the S&P 500 was down 14.87 points, or 0.33%, at 4,500.90, and the Nasdaq Composite was down 49.11 points, or 0.35%, at 13,982.71.
European shares fell to one-week lows on Tuesday, as subdued economic data from China fuelled concerns about a feeble recovery, while investors looked to domestic data for clues on the European Central Bank’s monetary tightening plans.
The pan-European STOXX 600 index was down 0.6% by 0709 GMT, its fifth consecutive session of losses.
China-exposed sectors such as luxury and construction & materials were among the top drags in Europe as data showed the country’s services activity expanded at the slowest pace in eight months in August.
Tech View: A Small Positive Candle
A small positive candle has formed on the daily chart, closing above the high of the Doji candle of Monday. This signals a potential uptrend continuation for the market in the short term.
Stocks showing bullish bias
The momentum indicator, Moving Average Convergence Divergence (MACD), indicates bullish trade on the counters of Dish TV, NHPC, Bank of India, BPCL, and CDSL, among others. The MACD is renowned for signaling trend reversals in traded securities or indices. When the MACD crosses above the signal line, it gives a bullish signal, suggesting that the price of the security may see an upward movement and vice versa.
Stocks signaling weakness ahead
Bearish crossover on the MACD for counters like Time Technoplast, Gland Pharma, Tips Industries, Lyka Labs, and SH Kelkar and Company suggests they may be starting a downward trajectory.
Most active stocks in value terms
MRF, Page Industries, Honeywell Automation, 3M India, and Shree Cements were among the most active stocks on NSE in value terms, indicating the counters with the highest trading turnovers for the day.
Most active stocks in volume terms
IRFC, YES Bank, JP Power, and Vodafone Idea were among the most traded stocks in the NSE session.
Stocks showing buying interest
Shares of MMTC, KIOCL, Raymond, Devyani International, and IRFC are witnessing strong buying interest, reaching their fresh 52-week highs, indicating bullish sentiment.
Stocks seeing selling pressure
Shares of GNA Axles, Shrenik, Penta Gold, Sanco Industries, and Allcargo Terminals have hit their 52-week lows, signaling bearish sentiment on these counters.
Sentiment meter favours bulls
The market breadth tilts in favor of the bulls, with 2085 stocks ending in the green, as opposed to 1,599 in the red.
(Disclaimer: Recommendations, suggestions, views, and opinions given by the experts are their own. These do not represent the views of Economic Times)