Opening Bell: Nifty, Sensex open flat with positive bias; auto stocks top gainers, banking shares see marginal drop

The Indian market opened on a flat note on Tuesday amid mixed global cues. After surging by more than 2% on Monday, benchmarks opened nearly 0.15% higher on Tuesday. The Nifty50 opened above 18,000 mark and the Sensex gained more than 150 points in the opening trade. The two indices opened at 18,080.05 and 60,786.07 respectively.  

In the broader market, Nifty midcap and small indices gained more than half per cent.  

See Zee Business Live TV Streaming Below:

Sectorally, auto, consumer durables and metal saw maximum buying interest in the opening trade, while banking stocks were seen under some pressure after massive rally on Monday. 

The 12-share Bank Nifty opened above 38,700.  

In the pre-open, the Sensex was trading marginally higher by nearly 200 points as 26 stocks advanced and 4 declined on the 30-share index.  

"Nifty Index closed higher at 18,053 on Monday, while the VIX ended at ~18-level. The Index demonstrated price intensity and sustaining above the 17,900-18,000-zone in the near-term bodes well for the recovery rally. Overhead resistance is seen at 18,200-18,300-zone, post which the Index is set to witness fresh buying momentum, "says Viraj Vyas, Technical and Derivatives analyst at Ashika Broking. 

As profit booking move cannot be ruled out given the nature of the rise, ‘buy-on-dips’ should be the way to go as long the 17,900-level is held, suggested Vyas.  

"Bank Nifty too saw a price intense move, as it closed higher at 38,635. Near-term resistance is seen at 39,000-39,200-zone and a sustained closing above which would lead to a fresh breakout in price action, while momentum support is seen at 38,000-level," he added.  

Earlier, Asian markets were trading mixed as Japanese Nikkei 225 was trading flat with negative bias, while SGX Nifty Futures rose by nearly 100 points in the early trade on Tuesday. No trading was seen on Chinese Shanghai Composite and Hang Seng Index at the Hong Kong Exchange. 

Earlier, The Dow Jones Industrial Average rose 103.61 points, or 0.3%, to 34,921.88, the S&P 500 gained 36.78 points, or 0.81%, to 4,582.64 and the Nasdaq Composite added 271.05 points, or 1.9%, to 14,532.55.