BT Closing Bell | Sensex, Nifty close higher as BJP wins Bengal; analysts share mixed outlook

The Indian equity market ended higher on Monday helped by a favourable election outcome in West Bengal for the BJP. Sensex rose 355 pts to close at 77,269 and Nifty added 122 pts to settle at 24,119. Market cap of BSE-listed firms rose to Rs 467.33 lakh crore. BJP looked set to score a huge win in West Bengal as results started trickling in. Of 293 seats in West Bengal, BJP was leading on 199 seats and the ruling TMC was ahead on just 88 seats. 

Adani Ports, HUL, Reliance Industries , L&T, Eternal, Maruti Suzuki were the top Sensex gainers rising up to 5.30% on Monday. On the other hand, Bharti Airtel, Kotak Mahindra, TCS, ITC and Infosys were the top losers, falling up to 3.14%. 

As many as 185 stocks hit their 52-week highs today. On the other hand, 35 shares fell to their 52-week lows.

Vinod Nair, Head of Research, Geojit Investments Limited said, "Investor sentiment remained supported by a favourable election outcome in West Bengal and a better-than-expected Q4 earnings, helping markets look past Middle East-related concerns. However, intermittent profit booking persisted amid uncertainty surrounding the US "Project Freedom" initiative to reopen the Strait of Hormuz. While the resolution path may take time, optimism around gradual progress continues. Crude prices holding below $110 are providing near-term comfort. Going ahead, market direction will hinge on geopolitical developments and oil price trends, given their impact on inflation, interest rates, the rupee, and corporate margins."

Nilesh Jain, VP- Head of Technical and Derivative research at Centrum Finverse  said, "A decisive breakout above 24,200 is essential to extend the upmove towards 24,500 levels. On the volatility front, the index eased by nearly 1% over the week to close around 18, and any further cooling in volatility could lend support to bullish momentum. The broader structure remains positive as long as the Nifty holds above 23,800, though some near-term consolidation cannot be ruled out."

Shrikant Chouhan, Head Equity Research, Kotak Securities said, "We are of the view that the short-term texture of the market is non-directional and is likely to remain so in the near future. For day traders now, the 24,000/77,000 level and the 20-day SMA (Simple Moving Average) will act as key support zones. Above these levels, the market could continue its positive momentum towards 24,300–24,400/77,700–78,000. On the flip side, below the 20-day SMA or 23,950/76,800, the market could retest the levels of 23,800–23,750/76,500–76,300."

Previous close 

Domestic equity benchmarks ended the holiday-shortened week on a positive note on Thursday with BSE Sensex and NSE Nifty edging up 0.32% and 0.41%, respectively. On Thursday, the 30-pack index closed at 76,913.50, and the 50-pack index settled at 23,997.55.