Mumbai, Nov 24: The stock market kicked off the day on a high note, experiencing a surge in indices that resulted in an opening in the green territory.

Nifty, opening on a flat note due to the US holiday yesterday and a half-trading day today, displayed resilience in a narrow range trade yesterday, closing marginally down by 5 points but maintaining a position above the crucial 19800 mark.

The Sensex surged 54.58 points, opening at 66,051.66, while the Nifty gained 20.90 points, opening at 19,820.75. Among the Nifty companies, 28 witnessed advances, while 22 declined.

The top gainers included Cipla, Divi's Lab, Dr. Reddy, NTPC, and MandM, whereas Hero Motocorp, HCL Technology, Tata Motors, TCS, and Wipro were among the top losers.

Varun Aggarwal, founder and managing director, Profit Idea, said, "We remain positively biased on Indian economy for medium term. Short term support on Nifty lies at 19276 and major support lies at 18837. Nifty has shifted in a broader range of 20000-19500 levels. Medium term target of Nifty remains at 20466-21234-21410. FO expiry for November series next week, OI data has huge call writing at 20000 CE and 19500 PE levels".

"On weekly front, Maximum Call OI is at 20000 then 19900 strike while Maximum Put OI is at 19800 then 19700 strike. Call writing is seen at 19900 then 20000 strike while Put writing is seen at 19800 then 19700 strike. Option data suggests a broader trading range in between 19600 to 20000 zones while an immediate trading range in between 19700 to 19900 zones", added Aggarwal.

Remaining positively biased on the Indian economy for the medium term, analysts highlighted short-term support on Nifty lying at 19276 and a major support level at 18837.

Nifty has shifted into a broader range of 20000-19500 levels, with a medium-term target ranging between 20466-21234-21410.

Looking at the options market, data indicates a broader trading range between 19600 to 20000 zones, with an immediate trading range between 19700 to 19900 zones.

Aggarwal said, "Shares were mixed in Asia after a modest advance on Wall Street that kept the market on track for a fourth straight weekly gain. Markets in Japan and the U.S. are closed for holidays. Chinese developers rallied on signs of more government support. Better than expected consumer sentiment data, fall in US Jobless data and strong quarterly earnings by Chip maker Nivda lifted the US market up to 0.5 per cent yesterday".

He added, "European stocks edged marginally higher, holding at a two-month high, helped by to a rally across commodity-linked sectors in a quiet trading session amid the US Thanksgiving holiday. UK, Germany and France Index are flat to positive. Cipla nosedived 8 per cent after the news that the US health regulator has pulled up drug major Cipla for various manufacturing lapses at its Pithampur (Madhya Pradesh) based manufacturing facility".

Asia's markets displayed a mixed performance after a modest advance on Wall Street, maintaining momentum for a fourth straight weekly gain.

With markets in Japan and the U.S. closed for holidays, Chinese developers rallied on signs of increased government support.
In the U.S., better-than-expected consumer sentiment data, a fall in US jobless data, and strong quarterly earnings by chip maker Nvidia contributed to a 0.5 per cent lift in the market.

European stocks edged marginally higher, holding at a two-month high, supported by a rally across commodity-linked sectors.

Aggarwal said, "India VIX was down by 4.60 per cent from 11.86 to 11.31 levels. Volatility slightly cooled off and comforted the bulls but momentum was clearly missing. We expect IT, Banking, Pharma, FMCG, Petrochemicals, Metals sector to do good.

Bullish bias risk defined strategies are best for traders. Expect higher targets to hit on Nifty".

Despite these positive trends, Cipla faced a setback as it nosedived by 8 per cent after news broke that the US health regulator raised concerns about manufacturing lapses at its Pithampur (Madhya Pradesh) facility.

India VIX witnessed a 4.60 per cent decrease from 11.86 to 11.31 levels, indicating a slight cooling off in volatility. While comforted by this, the market lacked momentum.

Analysts expect sectors like IT, banking, pharma, FMCG, petrochemicals, and metals to perform well, suggesting that bullish bias risk-defined strategies are optimal for traders, with expectations of higher targets to be hit on Nifty.

(ANI)

Read Business News

Argus English | argus english | Odisha Latest News, Breaking News, Trending News, Live TV