Bull-run continues, Nifty ends near 13,400; PSU banks outperform

The winning streak continued on the Dalal-Street with benchmark indices ending higher on December 8 mainly supported by ] PSU banks, while selling in metal and pharma names dragged the indices from the day’s high level.

The BSE Sensex was up 181.54 points or 0.40% at 45,608.51, and the Nifty was up 37.20 points or 0.28% at 13,393.

The markets closed within the resistance passage of 13400-13700. There is always a possibility of turning around from these levels and correcting. The overall trend continues to remain positive, but traders should exercise caution at these levels. Strict stop losses should be maintained for all long trades, said Manish Hathiramani, proprietary index trader and technical analyst, Deen Dayal Investments.

The Nifty PSU Bank index surged 7 percent, while metal and pharma indices shed over a percent.

Broader markets underperformed the benchmarks with BSE midcap falling 0.16 percent, while the smallcap index was down 0.29 percent.

UltraTech Cement, TCS, Reliance Industries, Wipro and HCL Tech were among major gainers on the Nifty, while losers included Sun Pharma, Hindalco Industries, IndusInd Bank, Coal India and Adani Ports.

Stocks & sectors

The BSE IT index rose 1 percent and Realty index was up 0.7 percent, while selling witnessed in the Power, Metal and Healthcare sectors.

A volume spike of more than 100 percent was seen in United Breweries, Reliance Industries, and PNB.

Long buildup was seen in PNB, Bank of Baroda and United Breweries, while short buildup was seen in Concor, Bosch and L&T Finance Holdings.

Over 300 stocks, including Wockhardt, Shaily Engineering, Maruti Suzuki, Marico hit a 52-week high on the BSE.

Technical View

The Nifty formed a Doji candle on daily scale but forming higher highs- higher lows from last seven trading sessions.

It traded in wider range of 100 points but ended with gains of 35 points to close near 13400 zones.

“Now it has to continue to hold above 13200 zones to witness an up move towards 13500 then 13750 levels while on the downside major support exists at 13000 zones,” said Chandan Taparia of Motilal Oswal Financial Services told .

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