Nifty ends above 200 DMA, turnover crosses Rs1 lakh crore

15 April 2009

Positive institutional flows and active participation from local retail players helped the benchmark indices to post strong performance in today's trade. The markets shrugged off disappointing Q1 & FY10 guidance from IT bellwether Infosys.

The Sensex successfully closed above the 11,000 mark while the Nifty ended above the 3450 mark. Huge buying in rate sensitives, infrastructure, pharma, cement, metal and select oil & gas stocks compelled the Nifty to cross 200 DMA (Daily Moving Average) of 3,437.

Vijay Bhambwani, CEO of bsplindia.com said, "I am happy that the Nifty has now finally broken out above the 200 DMA. The Nifty maintains its head above this level for at least 2-3 trading sessions and the short squeeze itself will drive the market to higher to maybe 3,550-3,600 on the Nifty spot."

The 30-share BSE Sensex has touched an intraday high of 11,337.75, before closing the day at 11,284.73, up 317.51 points or 2.9%. The 50-share NSE Nifty shut shop at 3484.15, up 3% or 101.55 points, after hitting a high of 3497.55.

Huge trading interest was seen in the midcap and smallcap stocks. Even institutional flows turned positive today. Local retail players were active in the stock futures. Dealers expect broader market to be rangebound while midcap outperformance will continue.

Broader indices outperformed the benchmark indices smartly and witnessed rally for the 8th consecutive session. The BSE Midcap Index went up 136.97 points or 3.95%, to settle at 3,601.89. The Small cap Index closed at 4,123.45, up 5.32% or 208.29 points. Both the indices surged nearly 25% and 29%, respectively in the last 8 sessions. These indices helped the market breadth throughout the session to stay strong. About 2360 shares advanced while 635 shares declined. Nearly 100 shares were unchanged.