The market staged strong comeback on Thursday after more than 1100 points fall on the Sensex in previous six consecutive sessions, driven by index heavyweights Reliance Industries, HDFC and Infosys. The broader markets outperformed marginally.
The 30-share BSE Sensex rose 216.27 points or 0.86 percent to 25252.32 and the 50-share NSE Nifty climbed 70.80 points or 0.93 percent to 7683.30. The BSE Midcap was up 0.9 percent and Smallcap gained 1.2 percent.
Overall consolidation with negative bias ruled the market in 2015 but that may not continue in 2016, feel analysts.
Eternal bull Gautam Shah, Associate Director & Technical Analyst, JM Financial would not be surprised if Nifty is at 9500 by June-July, 2016 because 2015 has been a great year of consolidation and the time correction has happened, adding that the risk reward is now favourable to build a long-term portfolio.
According to him, there is capitulation, 7500 would prove to be a good support for the Nifty.
Created by Moneycontrol
Index heavyweights Reliance Industries topped the buying list on Sensex, up 3.7 percent followed by HDFC, Infosys, HDFC Bank and ITC with 1-2 percent rally.
Among others, Bajaj Auto, NTPC, Cipla, Tata Steel, GAIL, ONGC and Hindalco Industries gained 1-3 percent while Lupin, Tata Motors, Mahindra & Mahindra and SBI were down more than 1 percent.
The market breadth was even strong as about 1841 shares advanced against 826 declining shares on the Bombay Stock Exchange.