Benchmark equity indices BSE Sensex and NSE Nifty kicked off the week on a positive note tracking firm global cues.
Asian markets were trading higher on Monday as hopes of more stimulus from central banks around the world and steps being taken by major economies such as Germany and China soothed investors’ fears of a sharp global economic slump.
Back home, the 30-share Sensex opened 135.59 points up at 37,485.92, while the 50-share Nifty index opened 47 points higher at 11,094 .80.
Going forward, Rohit Singre, Senior Technical Analyst, LKP Securities believes that Nifty has immediate support near 10,920-10,850 zone and resistance is coming near 11,100-11,150 zone, if the index managed to sustain above 11,150 then market may see a good move towards 11,350 zone.
Barring Maruti Suzuki (down 0.10 per cent) and Power Grid (down 1.28 per cent), other stocks in the Sensex pack were trading in the green with Sun Pharma rising over 2.50 per cent. It was followed by L&T (up 1.31 per cent), Hero MotoCorpNSE 1.27 % (up 1.17 per cent), NTPC (up 1.15 per cent) and Kotak Mahindra BankNSE 0.11 % (1.15 per cent).
Sectorwise, BSE Healthcare, Capital Goods, Telecom, Energy, Bankex and Realty index gained up to 1.25 per cent. Other sectoral indices on the BSE were also trading higher in the early trade.
This week, market participants would focus on global cues such as FPI investment trend, US-China trade talks and movement of oil and rupee this week. Participants are also awaiting measures from the government to boost growth and revive consumer sentiment.
Foreign investors offloaded Rs 8,319 crore on a net basis from capital markets in August so far amid uncertainty over FPI tax and global trade worries.
According to the depository data, foreign portfolio investors (FPIs) sold equities worth Rs 10,416.25 crore on a net basis during August 1-16 period.
The US markets settled higher on Friday as a rebound in bond yields eased fears of a recession that sent stocks tumbling earlier in the week. The Dow Jones Industrial Average gained 306.62 points, or 1.2 per cent, to 25,886.01. The S&P 500 advanced 41.08 points, or 1.44 per cent, to 2,888.68 and the Nasdaq Composite added 129.38 points, or 1.67 per cent, to 7,895.99.