Rising from the ashes like a phoenix, the tired bull rose from the dead to log strong gains. The benchmark indices gained nearly 4 per cent at close as near-term resistance levels were overcome comfortably.
The primary trigger was the bullishness in the US markets and the resultant bear squeeze thereafter. The traded volumes remained subdued as the National Stock Exchange volumes failed to surge past the Rs 10,000 crore in spot.
The indices have closed at the upper end of the intraday range as buying momentum persisted till the fag end of the session. Banking and technology stocks led the bull charge and are likely to see a trickle down move in the coming session. The intraday range, specified between 2,675 and 2,530, was overcome on the upside as the Nifty managed to close above this hurdle by a wide margin.
The coming session is likely to witness a range of 2,795 on advances and 2,650 on declines.
The outlook for the coming session is optimistic, subject to positive overseas cues and absence of negative news flow.
Vijay L Bhambwani
(CEO - BSPLindia.com)
The author is a Mumbai-based investment consultant)
