BT Closing Bell | Sensex recovers 850 pts from day's low on report of tax cut on foreign bonds

Sensex recovered over 850 pts from the day's low today amid a Bloomberg News report that said the government was preparing a fresh set of measures aimed at attracting overseas capital, including tax relief for foreign investors and easier access to government bonds. 

Sensex ended 304 pts lower at 74,346 and Nifty slipped 78 pts to 23,405. Sensex rebounded 854 pts from the day's low of 73,492. 

Among Sensex constituents, IndiGo (1.57%), SBI (1.43%), ICICI Bank (1.30%) and Trent shares were the top gainers rising up to 1.57%. 

TCS, Tech Mahindra, Infosys, HCL Tech and ITC were the top Sensex losers, falling up to 8.43%.

Rupak De, Senior Technical Analyst at LKP Securities said, "The index recovered smartly during the day but failed to reclaim the 20 EMA on the hourly chart, keeping the possibility of another decline alive. A lower-top, lower-bottom formation is visible on the hourly timeframe, indicating a bearish trend in the recent price structure. On the other hand, a positive divergence is visible on the hourly RSI, suggesting some improvement in momentum. However, the short-term trend remains weak, with the potential for the index to move towards 23,000 if it falls below 23,300. On the higher side, 23,600 is likely to act as a crucial resistance level."

          
The Business Today Show at India Today | Every trading day at 3 pm | Complete stock market closing action

Catch all the latest updates coming in from the stock markets on The Business Today Show. This is where you will get all the market closing action on the Dalal Street, and what's hot in the corporate and financial world. Every trading day at 3 pm - The Business Today Show at India Today.

Watch here: