Stock Market Today: Nifty Breaks Out with Close above 200-EMA
Stock Market & BSE Bull ! (Image credit BSE India)
Volatility Index Spikes Amid Stock Market Uncertainties
By S Jha
New Delhi, March 27: Bulls held grounds on Thursday in the stock market. Indices soared despite US President Donald Trump unveiling tariff measures.
Nifty gave close above 200-EMA. This signals bullish momentum. But volatility index also spiked. This suggests uncertainties in the market.
On positives, bulls are riding on strength in stocks of market leaders. Boarder market closed the day with gains. Also, the monthly expiry didn’t dent the bulls’ strength.
“Nifty began the expiry session on a slightly negative note, testing the bullish gap,” said Angel Broking in a post-market note. It stated that “shortly after the opening bell, the bulls fought back and made a modest recovery, managing to hold at higher levels throughout the day”.
The brokerage stressed that “Nifty50 index closed the session with a gain of 0.45%, around the 23600 zone. The index surged 300+ points, closing 1.32% higher, marking its sixth consecutive session in the green.”
FIIs Lead Short Covering to Pump Stock Market Amid Power Play
On charts, Angel Broking said that Nifty has given a clear technical breakout. “Nifty closed above the 200-EMA for the first time since February 5, reinforcing bullish momentum,” added the brokerage firm.
It also stated that broad-based buying was seen in the stock market, as 42 of 50 Nifty 50 stocks and 368 of 500 Nifty 500 stocks ended in green, indicating strong market breadth.
Gains in Nifty were led by Hero Moto Corps. The two-wheeler giant maintained the gains through the session. The stock has heavily corrected from its peak.
Also, diversified conglomerate Larsen and Toubro fired all cylinders on Thursday. But stock of Tata Motors took sever beating. The maker of electric vehicle JLR reacted negatively to Trump tariffs on imported cars.
On Sectoral strength, Angel Broking said that “PSU Banks (+3.18%), Nifty Bank (+2.20%), CPSE (+2.18%), Realty (+1.53%), and Oil & Gas (+1.46%) drove the rally in the stock market”.
But the brokerage also sounded caution. It said that there was a volatility surge. “Despite the gains, India VIX jumped 8.90%, suggesting increased market uncertainty,” it added. Delhi-based brokerage also said that “as we approach the final session of the current financial year, combined with the upcoming extended weekend, the market is expected to remain subdued unless there are notable changes on the global front”.
“Additionally, it is wise to stay informed about the uncertainties surrounding tariffs, as these factors are likely to influence the market’s intermediate outlook,” said Angel Broking in its note.
(Disclaimer: This article makes no recommendation for any kind of trades in the stock market)
Join the WhatsApp Channel of The Raisina Hills
Follow on Google News https://news.google.com/publications/CAAqBwgKMNK2vwsw39HWAw?hl=en-IN&gl=IN&ceid=IN%3Aen
About The Author
