Nifty, Sensex Steady Amid Market Consolidation

The Indian stock markets opened flat on Tuesday, even as other Asian stocks saw gains; however, there are indications of positive movement with short-term consolidation.

The Nifty50 index climbed 33.65 points or 0.14 percent to 24,652.65, while the BSE Sensex increased 67.50 points or 0.08 percent to 81,575.96. Market analysts indicated that the consolidation phase in the markets is likely to persist.

Despite the Syrian crisis, the threat of a market decline has vanished. By year's end, the markets might experience a rally phase. Banking and market expert Ajay Bagga mentioned, 'We anticipate another day of mild consolidation in the markets. We foresee a few days of consolidation followed by an upward trend during the Santa Claus rally at the year's end.'

This week, central banks are expected to modify interest rates, while the US Consumer Price Index will impact the Federal Reserve's choices in the upcoming week.

On the NSE, except for Nifty Auto, all sectoral indices increased during the opening session, with Nifty Realty leading with a 0.75 percent gain. In the Nifty 50 list, 27 stocks opened higher, 22 declined, and 1 remained unchanged. The top gainers in the Nifty 50 were Shree Ram Finance, Apollo Hospitals, BEL, Infosys, and HCL Tech. M&M, ONGC, Bajaj Auto, UltraTech Cement, and Trent were some of the major decliners in the initial days.

Akshay Chinchalkar, Head of Research, Axis Securities, said, "The Nifty finds itself in a state of price compression based on two types of popular "narrow range" patterns, which indicate that a trending type of move could be just around the corner. The bias remains high as long as the 24360 – 24445 area persists, with an upside hurdle range between 24800 and 25000. "

In other Asian markets, all major indices increased except for Taiwan's weighted index, which saw a slight decline at the time of this report. Japan's Nikkei index remained stable in positive territory, while South Korean markets rebounded by 2 percent after previous declines due to ongoing political uncertainty in the country. Hong Kong's Hang Seng index also rose by over 1 percent, driven by optimism regarding China's stimulus package.

[Agency]