Bulls reassert dominance in stock market, driving major gains

Mumbai (Maharashtra) [India], November 2 (ANI): The stock market showed strength on Thursday as it managed to close in the green. The Sensex surged 533.44 points, ending the day at 64,124.77. The Nifty, on the other hand, gained 156.80 points to close at 19,145.95. Among the Nifty companies, 42 advanced while 8 declined.
The top gainers among the Nifty firms included Britannia, Hindalco, IndusInd Bank, Apollo Hospital, and Eicher Motors. On the flip side, Hero Motocorp, Bajaj Auto, HDFC Life, ONGC, and Adani Enterprises were the top losers.
Varun Aggarwal, founder and managing director, Profit Idea, said, "Renewed buying in Index heavyweights Reliance, Britannia, TCS, L&T, ICICI Bank, HDFC Bank, HUL lifted Nifty by 0.76 per cent or 144 points to close above 19100 mark. Traders were bargain hunting after a stiff correction in the last few sessions and boosted sentiment helped by impressive corporate earnings. The buying was attributed to the large-cap stocks. Nifty index opened positive, it witnessed buying interest for the rest of the session. Now it has held above 19100 zones, for an up move towards 19250 then 19350 zones whereas supports are placed at 19000 then 18888 zones".
Renewed buying in index heavyweights like Reliance, Britannia, TCS, L&T, ICICI Bank, HDFC Bank, and HUL lifted the Nifty by 0.76 per cent, or 144 points, closing above the 19,100 mark.
Traders engaged in bargain hunting after a recent correction in the market, and the sentiment was further bolstered by impressive corporate earnings. Large-cap stocks were particularly in demand, driving the positive momentum in the Nifty.
He added, "Indian market is positive but it will face crucial resistances at 19343-19463 levels. It will be interesting to note the OI data, 19300-19500 levels have a huge open interest. Call writers are active selling calls and they will not let bulls take guard again so easily. On the downside, major support remains at 18134-18458. We expect this volatility to continue this week. Market sentiment is eyeing a lot of events lined up and this will continue to keep the moment in markets. We remain positively biased on the Indian Economy. Expect India to outperform global markets. On sectoral front, we remain positive on IT, Pharma, Metal, Banking & Petrochemical sector".
The market opened on a positive note and sustained buying interest throughout the session. With the Nifty holding above the 19,100 level, the focus now shifts toward the 19,250 and 19,350 zones. Key supports are situated at 19,000 and 18,888 zones.
While the Indian market appears positive, it faces crucial resistance levels at 19,343-19,463. Call writers have shown activity in selling calls, which means they may resist the bulls' attempts to gain control.
On the downside, significant support remains in the range of 18,134-18,458. Volatility is expected to persist as several events are lined up, influencing market sentiment.
"On the weekly front, Maximum Call OI is at 19500 then 19400 strike while Maximum Put OI is at 19000 strike. Option data suggests a broader trading range between 18800 to 19600 zones while an immediate trading range is between 19000 to 19400 zones. Traders should trade cautiously with risk-defined strategies. Every dip is a golden opportunity for medium to long-term investors. The medium target for Nifty remains 20466-21234", said Aggarwal.
The outlook for the Indian economy remains positive, with expectations of outperformance compared to global markets. The IT, Pharma, Metal, Banking, and Petrochemical sectors are expected to perform well.
Option data suggests a broader trading range between 18,800 and 19,600 zones, with an immediate trading range of 19,000 to 19,400 zones.
Traders are advised to approach the market with defined risk strategies, and every dip could present a golden opportunity for medium to long-term investors. The medium target for Nifty is in the range of 20,466 to 21,234. (ANI)