Indian stock market continued to show strong resistance against global headwinds this week as both BSE Sensex and Nifty 50 gained more than 1 percent in the index value.
Sensex of the Bombay Stock Exchange gained 652 points in the last week as automobile, energy, and capital goods stocks surged in stock values.
Stocks from the Metal, Power, and Realty sector also witnessed an uptrend in their stock values. The surge was due to the increased confidence of investors and traders in fundamentally strong Indian stock options.
Nifty 50 of the National Stock Exchange gained 210.5 points to conclude trading at the last traded price of 17,786.80. Out of 50 stocks traded on the index, 40 stocks posted gains in their value during the past week. Maruti Suzuki India was the biggest gainer on the Nifty 50 in the last week. Entities such as JSW Steel, NTPC, Larsen and Toubro, and the power grid corporation of India also posted considerably well gains during the past week.
Mahindra & Mahindra, Apollo Hospitals Enterprise, and Shree Cement also advanced by over 4 percent. On the other hand, Hindustan Unilever, Bajaj Finance, and HDFC Life Insurance Co declined 4.9 percent, 2.5 percent, and 2.2 percent, respectively.
Indian stock market has been performing considerably well for the past few days, as investors have gained confidence from recent reports of GDP growth in the United States of America and falling crude oil prices in the international oil market. A report by a private research firm stated that the Indian economy will witness the growth that would be higher than the global average growth rate. Internship Monetary Fund also projected that India will be one of the fastest growing economies in the current and next financial year. This is despite macroeconomic challenges on the global stage. High inflation, high-interest rates, and fears of global economic recession had affected the fiscal growth of India severely.
Market Analyst Rupak De said that the index has sustained above the crucial moving average on a daily timeframe, confirming the short-term uptrend. According to Rupak De the trend may remain sideways to positive for a short period of time. He also added that support is visible at 17,700/17,550 on the lower end and resistance on the higher end is placed at 17,850/17,950