F&O Talk: Sector rotation at play, while Nifty aiming for new highs, says Madhu Bansal of The Finberg

economictimes.indiatimes.com:

Tata Consultancy Services (TCS) beat quarterly revenue estimates.

The Sensex rose by 622 points (0.78%) to 80,519, while the Nifty increased by 186 points (0.77%) to 24,502. Meanwhile, the total market capitalization of BSE-listed companies grew by Rs 1.18 lakh crore to Rs 452.36 lakh crore, although the market breadth favored the bears.

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Analyst Madhu Bansal, Research Analyst and Founder of The Finberg interacted with ET Markets regarding the outlook on Nifty and Bank Nifty, with an index strategy for the week. Following are the edited excerpts from her chat:

Indices are facing resistance at their ATH levels, do you see a phase of consolidation post the rally?

On Friday, Nifty closed at an ATH signaling a bullish momentum continuation. It’s difficult to say that the index will consolidate anytime soon as the trading volume exhibits strength. Though the RSI indicator is showcasing an overbought situation at 73 levels, this can be taken as a sign of minor correction before continuing the bull move. The levels to watch in the current market for Nifty should be 24,500 on the upper level and 23,400 on the lower level.

Once the indices break above the ATH levels, where do you see the indices progressing next?

If the markets are able to sustain above 24,600 levels, it has the