F&O Talk: IT, pharma technically well placed, may contribute to Nifty’s upmove, says Sudeep Shah of SBI Securities
Benchmark indices Nifty and Sensex maintained their momentum, closing at record highs on Friday. This marked Nifty's best week in two months, extending its winning streak to 12 consecutive sessions.
The 30-share BSE Sensex climbed 231 points, or 0.28%, to close at 82,365, while the broader NSE Nifty gained 84 points, or 0.33%, ending at 25,235. This is the third consecutive day the Nifty has closed at a record high.
Analyst Sudeep Shah, Deputy Vice President and Head of Technical & Derivatives Research at SBI Securities, discussed the market outlook as well as specific stocks and sectors for the new series with ET Markets. Below are the edited excerpts from his conversation:
Nifty is sustaining above the 25k mark, and analysts believe it is set to make new record highs in the near future. What are your views on this?
In August, Nifty experienced significant volatility, with 12 trading sessions opening either with a major upside or downside gap. Throughout the month, it has fluctuated over a 1300-point range, underscoring the heightened market volatility. Despite this, the index reached new all-time highs and closed the month above the significant psychological level of 25,200. Most noteworthy, for the third consecutive month, the index has ended on a positive note. On a monthly scale, it has formed a bullish candle with a long lower shadow, which indicates buying interest at a lower level.
Steady sector rotation has played a crucial role in supporting the market and maintaining these elevated levels. During
