Indian market bounced back sharply on Friday but pared some gains towards the close of the trade. The Nifty50 closed just a shade below 17900 levels while the S&P BSE Sensex rallied nearly 400 points.

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Let’s look at the final tally on D-Street – the S&P BSE Sensex rose 381 points to 60,059 while the Nifty50 rose 104 points to 17,895.

 

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Sectorally, the action was seen in energy, IT, and auto stocks while selling was visible in realty, power, FMCG, and utilities.

A status-quo stance from the Reserve Bank of India, and a dovish outlook supported the sentiment. The Nifty closed flat with a positive bias at 37,775.

"Domestic indices traded higher with optimism underpinned by dovish RBI policy and mixed global cues due to US jobs data awaited later in the day. RBI kept rates unchanged and maintained the status quo on accommodative stance,” Vinod Nair, Head of Research at Geojit Financial Services, said.

“FY22 GDP growth was maintained at 9.5% while trimming inflation worries by lowering CPI forecast from 5.7% to 5.3%, provided the push to the market,” he said.

We have collated views from different experts as to what investors should do when trading resumes:

Expert: Chandan Taparia, Vice President | Analyst-Derivatives at Motilal Oswal Financial Services Limited

Bulls are cheering the market at higher zones and formed a small-bodied Bullish candle on the daily scale. The Nifty50 formed a Bullish candle on the weekly frame and has been forming higher lows for ten weeks in a row.

Now, the index has to hold above 17850 for an up move towards 18000 and 18200 levels whereas on the downside support is seen at 17777 and 17650 zones.

Expert: Gaurav Ratnaparkhi, Head of Technical Research, Sharekhan by BNP Paribas

On October 08, the Nifty crossed a swing high of 17884 as well as a falling trendline from the previous swing highs. However, the bears didn’t allow the index to cross the recent high of 17947 as well as the daily upper Bollinger Band.

The index is trading right into the hurdle zone of 17900-17950. Also, the psychological mark of 18000 is adding pressure on the higher side. These barriers are expected to keep the index in the short-term consolidation phase.

On the downside, 17840-17800 is an immediate support zone below which the bears can take charge & push the index down to 17600.

Expert: Ashis Biswas, Head of Technical Research at CapitalVia Global Research Limited

The market witnessed some volatile movements and an attempt to hold the level around the Nifty 50 Index level of 17900. The market is going to be crucial for the short-term scenario to sustain above the 17770-17800 Nifty50 Index support zone.

If the market is able to sustain the level of 17770-17800, It can witness higher levels of 18000. The momentum indicators like RSI and MACD indicating positive momentum is likely to continue.

Expert: Sachin Gupta, AVP, Research at Choice Broking

On the technical chart, the nifty has formed like a Doji candlestick and settled higher. On a weekly basis, the index has gained almost 2% from the previous week's close.

A momentum indicator RSI moved above 60 levels while Stochastic has indicated positive crossover on a daily timeframe. At present, the index has immediate support at 17700 while resistance comes at 18000 levels.

(Disclaimer: The views/suggestions/advice expressed here in this article are solely by investment experts. Zee Business suggests its readers to consult with their investment advisers before making any financial decision.)