Sensex ends 277 pts up, Re @ 2-month high, Maruti up 10%

The Sensex staged an excellent performance on Tuesday after witnessing a consolidation in the previous four sessions, though there was small bout of profit booking in last few minutes of trade. The Sensex rose 276.69 points, to close at 16,466.05 and the Nifty moved up 93.40 points to 4,967.30 after hitting an intra-day high of 4,975.55.

Better than expected Chinese Q4 GDP, strong European cues and appreciation in the rupee lifted confidence of Dalal Street. Sharp upside in index heavyweights was an indication that some foreign money stepped in the market.

Ambareesh Baliga, COO of Way2Wealth feels that the Nifty can go to 5050-5100 levels because the momentum is good.

"It is not just short covering. Actually we are seeing some real buying especially by the smart investors like institutions. At the same time, investors who were sitting on the sidelines have started buying. So it can sustain for a while longer," he explained.

However, technical analyst, Sudarshan Sukhani of warned that the market is now at the very end of this leg at least. "It's possible that it will go up again after a correction or consolidation," he said.

Chinese Shanghai shot up 4.18% after better than expected growth reported in quarter ended December 2011. Growth in gross domestic product expanded 8.9% in the October-December as against analysts' forecast of 8.7%, though it was at 2.5-year low.