Amid exuberance in the overall market sentiment, broader markets outperformed with Nifty Midcap 100 index hitting all-time high today. The index tracking the movement of the midcap segment of the market has year-to-date (YTD) gained 29 per cent, while in the last one year the index has scaled 48 per cent.

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Stocks like CG Power and Industrial Solutions, Aurobindo Pharma, BHEL, Lupin and Oracle Financial Services contributed to the upmove in the index.

The sharp gains in the midcap index are seen even as the focus shifts to domestic CPI data due to be released later today. Nifty at around 1:20 pm traded higher by 0.29 per cent or 72.35 points at 24,990.8.

Despite the stretched valuations, the index has been hitting new highs. Meanwhile, Nifty Midcap 100 also traded higher with gains of 0.71 per cent.

Suzlon Energy enjoying the highest weightage in the index has been adding to the gains of the index. Last, Suzlon Energy, however, traded with a cut after recording a fresh record high of Rs 86.04 per share on the BSE.

The markets are getting a boost amid continued domestic retail and institutional investor interest. Also, FIIs turning buyers in the cash market during the last three days is another indication that the market will continue to be resilient. 

Vishal Jajoo, Fund Manager, ITI Mutual Fund on the remarkable gains on the index said, "The earnings trajectory of the companies in the mid cap space exceeds that of other peers. Besides this, they are agile and nimble with any changes that come their way, ensuring they take advantage of the ever-changing business environment. Certain sectors like chemicals and materials have companies in the mid and small space only and many businesses in sectors like defence, capital goods, engineering, and electronic manufacturing are representative of significant growth opportunities beyond the large-cap space."

Jigar S. Patel, Sr. Manager - Equity Research- AnandRathi said, "At the current stage, the Midcap 100 index is encountering resistance in the range of 59,000 to 59,600 due to the presence of multiple tops formed in this zone. This suggests that the index has been unable to surpass this level in recent attempts, making it a crucial barrier for further upward movement. A decisive breakout, where the index closes above the key psychological level of 60,000 on a daily basis, is necessary to signal a continuation of the uptrend."

Patel added that until this breakout is confirmed, it is advisable to remain cautious. As for support, the index is likely to find some stability near 58,650, which coincides with the 21-day Exponential Moving Average (DEMA), a technical indicator commonly used to gauge short-term trends. In the absence of a clear breakout, it is prudent to adopt a "wait and watch" approach, as the market could either consolidate or face downward pressure if it fails to break the resistance level.