Market Opens Strong, Nifty Regains 25,000 Levels

The Indian stock markets opened with gains on Tuesday, continuing to show strong resistance against global headwinds. The Nifty 50 index started at 25,007.90, gaining 71.50 points or 0.29 per cent, while the BSE Sensex surged 209 points or 0.26 per cent to 81,768.72 points at the opening session.

According to experts, global markets bounced back after the decline on Monday and last week, but volatility is expected as the Fed rate cut date approaches on 18 September.

“The US market had a relief bounce back, with Big Tech also recovering some of last week's losses. Asian markets are following the US cues and are largely positive. This is more of a technical dip buying, as the four issues of economic slowdown and falling commodity prices, rate hikes by the Bank of Japan, overextended global markets with a concentrated big tech base, and an imminent Fed rate cut on 18 September, continue to cast a shadow on markets,” said Ajay Bagga Banking and Market Expert.

In the Nifty 50 list, 37 stocks opened with gains, while 13 opened in the red. In the sectoral indices, Nifty Media emerged as the leader in gains, surging 1.53 per cent in the opening, followed by Nifty Pharma. Nifty Auto and Nifty Bank opened flat with marginal gains.

“We believe the pullback formation is likely to continue as long as the market is trading above the 20-day simple moving average or 24,800. On the higher side, it can move towards 25,000 and 25,050. It is considerable to reduce long positions between the same. On the other hand, an uptrend below 24,750 would be unsafe, traders may prefer to exit long positions,” said Shrikant Chouhan, Head Equity Research, Kotak Securities.

The Asian markets showed flat movement on the positive side on Tuesday after the sharp decline on Monday, Japan's Nikkei index gained marginally 0.08 per cent while Hong Kong's Hang Seng gained 0.30 per cent at the time of filing this report. The European and US markets also gained on Monday as the US index S&P 500 closed with a gain of 1.35 per cent while Nasdaq surged 1.34 per cent by the closing bell. (ANI)