Experts believe that if Nifty further breaks the level of 16000 then the rally will be intensified. Otherwise, the fear of correction will remain.
Stock Market rally: There has been a great rally in the stock market today. In today’s trading, the Sensex strengthened by more than 1000 points to reach the level of 52602 in intraday. At the same time, Nifty has also managed to reach close to 15650. After a big correction from the level of 16800 to the level of 15183, today short covering has been seen from the investors. Positive sentiment from global markets also got support. Experts believe that if Nifty further breaks the level of 16000 then the rally will be intensified. Otherwise, the fear of correction will remain.
Nifty may be strong till 16700
Swastika Investmart Ltd. Head of Research Santosh Meena says that after positive sentiment in global equity markets, there was a bounceback. There has been a big jump in stock futures and there is buying in Asian markets too. Due to which the domestic stock market has also got support. A short-covering rally has been observed in the market after a major correction from 16800 to 15183. However, if Nifty crosses the level of 16000, then only a big pullback can be seen in it.
At present, the first resistance for Nifty is at the level of 15800. On breaking this, Nifty can touch the level of 16000. If Nifty manages to maintain the level of 16000 then the next retest level will be 16400/16700. He says that now is the time for investors to gradually increase investment. In the current situation, every fall should be bought in quality stocks. However, there is an outside risk of further 10-15℅ correction.
Sentiment also improved due to fall in crude
Market sentiments have also improved due to the fall in crude prices. Crude is trading around $ 115 per barrel, which had crossed $ 122 last week. Demand outlook is weak due to slowdown in some major economies in the coming days. In such a situation, the prices of crude have come down.
Today the wealth of investors increased by 5 lakh crores
In the market rally today, there has been a tremendous jump in the market cap of BSE listed companies. The market cap of BSE listed companies was Rs 2,34,86,923.67 crore at the close of the market on Monday. It increased to 2,39,66,586.53 crores in intraday rally today.
