On Wednesday, after the National Stock Exchange (NSE) resumed trading after a nearly four-hour long halt due to a technical glitch, domestic equity market benchmarks ended over 2% higher. BSE Sensex zoomed 1,030 points or 2.07 per cent to 50,782, while the broader Nifty 50 index surged 280 points to settle at 14,988. During intraday, Nifty reclaimed the psychological level of 15,000 mark in post resumption trade. The rally was primarily boosted by buying in private banks after Finance Minister Nirmala Sitharaman announced that the Centre has lifted the embargo on the grant of government businesses to private banks. FM further added that all banks can now be equal partners in the development of the Indian economy. Following this development, Both Nifty Bank and Nifty Private Bank indices surged nearly 4 per cent.
After six days of the corrective move, Nifty showed smart recovery, Nifty took 14650 support and managed to cross over 14850 resistance area and created a strong bullish candle on the daily chart, Nifty chart pattern indicates that now if Nifty sustains above 14850, it can continue upward momentum towards 15100-15250, but any break below 14850 would witness profit booking again towards 1470000. In the near term, we expect the banking, metals and capital goods sectors to do well.