Sensex, Nifty Hit New Record Highs; IT and PSU Banks Lead The Rally

Led by the rally seen in the shares of technology and public banks, Sensex made a fresh record high of 54,874.10 and Nifty hit 16,375.50 for the first time. It's only a few days when the Sensex had crossed the 54,000 mark and the Nifty had breached 16,000.

At close, the BSE Sensex was up 318.05 points at 54,843.98, and the Nifty closed at 16,364.40, up 82.10 points. In the Sensex pack, shares of Power Grid Corporation surged the most in the day's trade as it climbed over six per cent, while HCL Tech and Tech Mahindra jumped over two per cent each.

On the flipside, the pharma stocks saw selling pressure throughout the day which led the index to decline over a per cent in the day's trade, dragged by Lupin(-7.12 per cent), Aurobindo Pharma(-3.54 per cent). However, all other sectors ended green with the IT and PSU Banks adding over a per cent each.

Tracking the positive momentum across the board, the broader markets also bounced back after sessions of corrections. The BSE Midcap and Smallcap indices closed higher by a per cent each. Shares of VIP Industries, Vakrangee, and HBL Power gained nearly 20 per cent each in the Smallcap pack.

In the overall market breadth, 2314 shares advanced, 816 shares declined, and 113 shares were unchanged.

Moving ahead, experts feel that the indices continued their positive trend and attempted to break higher level bands and we are likely to witness 16500 in the coming sessions.

Ashis Biswas, Head of Technical Research at CapitalVia, said, "If the market sustains above the level of 16350, the market expects to gain momentum, leading to an upside projection till 16450-16500 level. The momentum indicators like RSI and MACD indicating a positive outlook to continue."

16,280 and 16,250 are said to be the resistance levels in the coming sessions for the Nifty, experts pointed out.

Gaurav Udani, CEO & Founder of ThincRedBlu Securities, said, "16400 and 16450 will act as the next resistance levels for nifty while 16280 and 16250 will act as supports."