Holi Fest at Dalal Street: FII fuels Sensex, Nifty rally for sixth straight session; RCom, RIL, L&T Infotech stocks gain
Currently, the market is range-bound in 11,400 to 11,550 levels and investors should enter taking buy position once it reaches around 11,440 to 11,450 levels.
On account of fresh buying by the foreign institutional investors (FIIs), the Indian indices extended its rally for sixth successive trade session. The BSE Sensex jumped 268 points to 38,363 levels while the 50-share Nifty index rose 70 points to 11,532 levels. The Nifty Bank index continue to witness the bull run on Tuesday and added 171 points before closing at 29,767 levels. Reliance Communications, Reliance Industries and L&T Infotech stocks gain.
Speaking on the market trend Simi Bhaumik, a SEBI registered technical equity analyst told Zee Business online, "I still maintain that people should adopt buy on dips strategy. Currently, the market is range-bound in 11,400 to 11,550 levels and investors should enter taking buy position once it reaches around 11,440 to 11,450 levels." Bhaumik said that on Wednesday we can witness some profit booking and then we can see the 11,450 levels when the investors can enter. However, she also said that if the market breaks the 11,550 levels then it can go up to 11,600-620 and people having buy position should book profit at these levels tomorrow.
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Telecom, Energy, PSU and Utility index led the rally at Dalal Street bringing Holi festivities two days ahead. The BSE Telecom index jumped 1.75 per cent from its previous close. Telecom major Bharti Airtel shot up by around 1.7 per cent, Bharti Infratel shares surge 2.26 per cent, ITI counter added near 2 per cent, MTNL stocks rose 1.67 per cent but the show stopper of the index was Reliance Communications that skyrocketed more than 10 oer cent today.
The BSE Energy index surge more than 1.5 per cent. Energy major Asian Oilfield Services shot up 5.4 per cent, GOCL Corporation added morea than 4.5 per cent, GP Petroleums stocks went up by around 2 per cent, HPCL counter added near 1.5 per cent, Jindal Drilling & Industries stocks jumped 2.64 per cent while Oil India stock rose over 2 per cent. But, the Sensex heavyweight Reliance Industries or RIL counter surge more than 2 per cent in the intraday trade on Tuesday.
FIIs interest shifting towards Indian indices was visible at Asian stock markets as the Japanese Nikkei 225 corrected 0.08 per cent, South Korean Kospi went down 0.09 per cent, Shanghai index went down 0.18 per cent, Hang Seng index went northward 0.19 per cent.