Last hour up-move gives hope

The market ended with marginal loses after a highly volatile trading session. The Sensex shed 64.20 points, or 0.18 per cent to settle at 35,592.50, while the Nifty 50 fell 9.35 points or 0.09 per cent to settle at 10,652.

Yes Bank (down 2.43 per cent), Larsen & Toubro (-1.73 per cent), Reliance Industries (-1.52 per cent), HDFC Bank (-1.22 per cent) and Power Grid (-0.96 per cent), were the major Sensex losers.

Sun Pharma (up 2.61 per cent), TCS (1.6 per cent), Asian Paints (1.51 per cent), ITC (1.42 per cent), IndusInd Bank (1.23 per cent), Hero MotoCorp (1.16 per cent), Bharti Airtel (1.02 per cent) and ICICI Bank (up 1 per cent), were the major Sensex gainers.

Among the sectoral indices on the BSE, Capital Goods was down 1.01 per cent and Oil & Gas, 0.92 per cent.

Techncial view

Sameet Chavan, chief analyst-technical & derivatives, Angel Broking, said: “Post the mid-session, selling aggravated to eventually push the Nifty below 10,600. Fortunately, an emergence of strong demand at lower levels during the penultimate hour resulted into a v-shaped recovery to reclaim 10,650 on a closing basis.

“The index managed to find support precisely at the 61.8 per cent retracement of the previous upmove. The daily chart now depicts a candlestick pattern which resembles ‘Long Legged Doji’. An occurrence of this pattern at the support levels certainly bodes well for the market. Going ahead, a move beyond Tuesday’s high of 10,691 would confirm this pattern and would lead to some relief move towards 10,750-10,780 levels. On the flipside, 10,630 followed by 10,583 would be seen as key supports.”

Market view

Vinod Nair, head of research, Geojit Financial Services, said: "Market opened on a negative note due to uncertainties surrounding the global market and upcoming US Fed policy. However, towards the closing, market managed to recoup some of the losses supported by strengthening rupee and short covering ahead of F&O expiry. The market is not completely out of the wood as volatility may extend in the coming days due to interim budget and election-led uncertainty."

—Ashwin Punnen