Tech View: Nifty reclaims 200-DMA. What are cues for merchants on Thursday?

Indian benchmark indices began 2025 on a optimistic be aware on Wednesday aided by shopping for traits in most sectors, significantly in auto and banks. Whereas the S&P BSE Sensex settled at 78,507.41, up by 368.40 factors or 0.47%, the broader Nifty closed at 23,742.90, increased by 98.10 factors or 0.41%.

Commenting on the day’s motion, Vinod Nair, Head of Analysis at Geojit Monetary Providers referred to as the start of 2025 optimistic with broad-based restoration. Nonetheless, the sustainability of the development will depend upon the earnings development in Q3, the place the expectation is optimistic on a QoQ foundation, he mentioned.

What ought to merchants do? Right here’s what analysts mentioned:

Rupak De, LKP SecuritiesThe index remained unstable however maintained a optimistic bias all through the day. Brief-term sentiment seems sturdy, with the index rising for the second consecutive session. Nonetheless, the important thing hurdle stays the index’s place under the 200-day transferring common (200 DMA). The continuing rally could face resistance round 23,900–24,000. A decisive transfer above 24,000 might set off an extension in direction of 24,500. On the draw back, assist is seen at 23,550.

Ajit Mishra, Religare Broking

The markets started the calendar yr on a optimistic be aware, gaining practically half a %. After an preliminary decline, shopping for curiosity in choose heavyweight shares throughout sectors shortly erased losses, steadily pushing the index increased. In consequence, the Nifty reclaimed its long-term transferring common, the 200 DEMA, and ended at 23,742.90. The index has now entered its second week of consolidation, and present indicators recommend that this development is prone to persist.

Shrikant Chouhan, Kotak Securities

Technically, after a short-term correction, the index has fashioned a reversal formation, which is basically optimistic. For merchants, 23,550/78000 would act as a key assist zone. Above this degree, the Nifty/Sensex might transfer as much as 23,900–24,000/79000-79200. However, if it falls under 23,550/78,000, the uptrend can be susceptible. Under this level, merchants could favor to exit their lengthy positions.Additionally Learn: Shares to purchase in 2025: 66 concepts from high brokerages in your new yr portfolio

(Disclaimer: Suggestions, options, views and opinions given by the specialists are their very own. These don’t symbolize the views of The Financial Instances)