Tata Steel, Sun Pharma, Tech Mahindra, Bajaj Finserv, Asian Paints, Housing Development Finance Corporation , Kotak Mahindra Bank, ICICI Bank contributed the most to indices gain.
The index has opened this morning with a gap but the big question is whether we are able to sustain on the upside.
We expect Bank Nifty to trade in a range while holding above the recent panic low of 38400.
Over past four sessions index has retraced merely 61.8% of the preceding four sessions up move , indicating a slower pace of retracement.
Traders are suggested to book profits on every rise and avoid taking new long positions till we get a bullish confirmation.
Hence, post gap-down opening uses intraday pullback towards 17520-17545 for creating a fresh short position for a target of 17430.
Till the index does not close below 17,650, the bulls have an opportunity to make a comeback.
It would be interesting to see whether we see similar kind of activity as we stepped into a new weekly expiry or stronger hands prefer to shift their stance.
The intraday texture of the market is weak but strong possibility of a pullback rally is not ruled out if it succeeds to trade above 50 day SMA or 17750.
We may further slide in the index ahead however the major concern is volatility and we do not expect any relief from that front.
US stock indices ended mixed on Wall Street.