13,786 Level Is Crucial For Further Increase, Says Vishwas Agarwal

The 30-share index, BSE Sensex ended with marginal gains on Thursday (Sep 18) BSE Sensexafter Finance Minister P Chidambaram declared that the Indian banking industry was unaffected by the US crisis. 

After losing 550 points in the beginning, bulls took charge during the second half as worldwide markets regained after central banks across the world joined hands to defend against a credit crunch and injected funds into the economy. 

Finally, the Sensex ended the day at 13,315.60, up 53 points, whereas the wider Nifty of the National Stock Exchange closed at 4038 points, up by 0.75 per cent. 

Rajesh Jain, CEO, Pranav Securities, said, “After a panicky opening, value buying came in at lower levels after the consortium of central banks took measures to provide liquidity into their respective financial systems.”

Despite the sharp recovery, total breadth of the market was negative on the BSE with only 676 stocks advancing against 1,944 declines. 

While commenting on the market condition, stock market analyst Vishwas Agarwal said that on BSE, 13,786 level is a crucial level for market to cross for further increase. 

On Sept 18 (Thursday) markets recovered smartly together with good amounts of volume, which is a positive indication for the stock market.

Mr. Agarwal added, “F&O Nifty 4,099 is an important level. If this level is crossed and sustained then market will touch 4,282 nonstop. One can use the level of 4,099 for short selling also but above this level one must clear his short positions.”

He also said that N-deal is likely to be cleared by the coming week, and this recent upturn in market will also be waiting for the contract to be accepted. 

So, investors need not to panic for the next 3 to 5 trading sessions on any bad news, he further added.

Analyst Views: