The broader Nifty surged 399.75 points, or 1.78%, to close at 22,912.40, while the 30-share Sensex soared 1372.06 points, or 1.89%, to settle at 74,068.45.
Meanwhile, the volatility gauge India VIX ended at 24.74, down by 7.44% from the last closing.
Here’s how analysts read the market pulse:
Notwithstanding the gains, Rupak De, Senior Technical Analyst at LKP Securities said Nifty closed with an indecisive candle, indicating that the direction of the next move remains uncertain.”The Nifty started higher following the first comments suggesting a possible de-escalation of the Middle East conflict. The index rallied sharply but encountered resistance around 23,000, where call writers had significant positions. It appears that much will depend on Wednesday’s opening. A negative opening may create bearish sentiment in the market, while a positive opening could indicate positive sentiment for the short term,” De said.
US markets
Wall Street’s main indexes pulled back on Tuesday as renewed doubts over easing Middle East tensions tempered the previous session’s relief rally despite President Donald Trump’s decision to delay strikes on Iran’s power grid.
Trump postponed his decision, citing “productive talks” with Iranian officials on Monday, but Tehran has said no negotiations with the U.S. have taken place. Israeli officials said Trump wants a deal with Iran, but any talks were unlikely to be successful at this point.
Investors took comfort from Trump’s comments, sending Wall Street’s main indexes rallying to more than 1% on Monday, in their biggest one-day rise since February 6. But the momentum lost steam as uncertainty over the conflict lingered.
European Markets
Unlike the Asian indices that ended Tuesday in deep green, major European indices traded with significant declines around 1:30 p.m. GMT. UK’s FTSE 100, Germany’s Dax, Stoxx 600, Spain’s IBEX 35 and French CAC 40, were trading with gains between 0.38% and 1.15% around this time.
Tech View
Decoding the charts, Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities said the a small bull candle is formed on the daily chart with upper and long lower shadow. Technically, this market action indicates a sharp bounce back in the market amidst high volatility. The negative chart pattern like lower tops and bottoms is continued and present up move is expected to be a new lower top of the pattern, which needs to be confirmed at the highs, he added.
“A sustainable bounce back of Tuesday could be a cheering factor for bulls to make a comeback, but the market needs to show strength by sustaining above the crucial hurdles like 23,500-23,600 levels to consider this as a near term bottom reversal pattern. Any failure to sustain the highs at the hurdle could possibly drag Nifty down to 22,600-22,500 levels again in the near term,” Shetti said.
Most active stocks in terms of turnover
Adani Enterprises (Rs 1042 crore), Adani Energy Solutions (Rs 509), Gujarat Alkalies and Chemicals (Rs 486 crore), HDFC Bank (Rs 216 crore), State Bank of India (SBI, Rs 188 crore), BF Investment (Rs 181 crore) and BLS International Services (Rs 180 crore) were among the most active stocks on BSE in value terms. Higher activity in a counter in value terms can help identify the counters with highest trading turnovers in the day.
Most active stocks in volume terms
Vodafone Idea (Traded shares: 4.24 crore), SpiceJet (Traded shares: 4.14 crore), YES Bank (Traded shares: 1 crore), Gujarat Alkalies (Traded shares: 76.14 lakh), BLS (Traded shares: 71.25 lakh), Suzlon Energy (Traded shares: 70.42 lakh) and Adani Enterprises (Traded shares: 57.27 lakh) and were among the most actively traded stocks in volume terms on BSE.
Stocks showing buying interest
Larsen & Toubro (L&T), Hindustan Petroleum Corporation (HPCL), InterGlobe Aviation (Indigo), HDFC Bank, GOCL Corporation, BLS International and Centrum Capita were among the stocks that witnessed strong buying interest from market participants.
52 Week high
Today, 44 stocks hit their 557 week highs while 1,129 stocks slipped to their 52-week lows. Among the ones which hit their 52 week highs included Acutaas Chemicals, Aether Industries, Citurgia Biochemicals, Fundviser Capital (India), GSP Crop Science, Kartik Investments Trust and Prime Focus.
Stocks seeing selling pressure
Among the large cap names were Coal India, Power Grid Corporation and Adani Enterprises. Other stocks which witnessed significant selling pressure were Globe International Carriers, Kriti Industries (India), Mask Investments, Uniinfo Telecom Services, Atam Valves, Onesource Specialty Pharma andCSL Finance.
Sentiment meter favours bulls
Heavyweights like HDFC Bank, ICICI Bank and Larsen & Toubro (L&T) pushed the markets the most, as the breadth stayed positive in the overall markets. Out of the 4,431 stocks that traded on the BSE on March 24, Tuesday, 2,949 stocks witnessed advances, 1,319 saw declines while 163 stocks remained unchanged.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)