Mr. Deepak Jasani, Head of Retail Research, HDFC Securities
Nifty rose for the third consecutive session on Sept 12 aided by positive global cues. Nifty opened gap up and rose to make an intra day high at 1410 Hrs. At close, Nifty was up 0.58% or 103.0 points at 17936.4.
Among sectors, Realty, Consumer Durables and IT indices rose the most. The broader markets outperformed the Nifty as the Midcap index was up 0.89% and the Smallcap index was up 1%. Advance decline ratio was positive at 1.64:1.
Asian and European markets rallied on Monday, building on the momentum of gains in the United States at the end of last week, as investors price in the expectation of further interest rate hikes aimed at taming inflation. The Ukrainian forces making a rapid advance in Kharkiv province in Russia's worst setback since its Kyiv push was abandoned in March, was also taken as a positive.
Nifty seems to be facing resistance at the previous high of 17992 (its intra day high was 17980.6). Broader market continues to do well, while the largecaps are seeing rotational buying and profit taking; thus leading the Nifty to a slow crawl up. Nifty could continue to face resistance at 17992 while 17807 could act as a support in the near term.