Indian markets edged higher today in early trade, lifted by gains in banking stocks and Reliance Industries. The Sensex was up around 100 points while the Nifty edged above 11,600.
Among financials, Yes Bank surged 6% while both SBI, HDFC Bank and Bajaj Finance logged gains over 1% each.
Market heavyweight RIL was up 0.7% ahead of its Q2 earnings announcement. The sequential recovery in refining margins should help RIL’s earnings.
Select IT stocks Infosys and HCL Tech witnessed some selling pressure, both down about 0.50%.
“Nifty has multiple hurdles at every 50 points higher from current levels. In case the market manages to cross 11,700 in 3 to 4 days, it would result in re-knocking 12100 levels in coming days. Below 11550, Nifty would find support at 11500 and at 11430,” said Shrikant Chouhan, senior vice-president for equity technical research at Kotak Securities.
“Possibilities of a Brexit deal buoyed the Nifty. The deal, however, needs a stamp of the British Parliament, which is a contingent event. The chatter out of Washington and Beijing has been positive, so the odds of a phase one pact being signed next month at the G7 summit is high,” says HDFC Securities.
A close above 11,640 could lead to further gains for the market, it added.