Sensex rises 308 points; Nifty settles above 23,050, while midcap and smallcap stocks decline
Indian stock markets ended in positive territory for the second consecutive session on Friday, supported by strong buying in information technology (IT) and pharmaceutical stocks. However, broader markets remained under pressure.
The BSE Sensex gained 308.49 points, or 0.42 per cent, to close at 74,459.53. The NSE Nifty advanced 116.35 points, or 0.51 per cent, to settle at 23,053.10.
Market sentiment improved amid renewed buying interest in heavyweight IT companies, as the unwinding of crowded artificial intelligence-linked trades in global markets boosted the outlook for domestic technology stocks.
Among the Nifty constituents, Trent, InterGlobe Aviation and Infosys emerged as the top gainers.
Sectorally, the Nifty IT index led the gains, while pharmaceutical stocks also attracted strong buying interest. The Nifty Consumer Durables index was the biggest sectoral loser.
However, broader markets underperformed the benchmark indices. The Nifty MidCap 100 declined 0.93 per cent, while the Nifty SmallCap 100 fell 1.85 per cent.
On the technical front, market experts said the Nifty broke out of its recent consolidation phase, closing above the crucial 22,800 mark and reclaiming its 20-day moving average (20-DMA).
Analysts noted that a symmetrical triangle pattern is developing on the three-hour chart, with a decisive breakout above 23,250 required for further confirmation.
The short-term outlook remains positive as long as the index sustains above 22,800. Experts suggested that traders could consider booking partial profits near 23,250 while maintaining remaining long positions with a trailing stop-loss at 22,950.
Overall, strength in IT and pharma stocks helped domestic benchmark indices extend their winning streak, even as midcap and smallcap stocks witnessed selling pressure.
