Tracing strong global cues, India’s benchmark index, Sensex rallied further on Monday (April 21).

Worldwide markets gained on speculation that the credit market losses at the banks will be over and as better than expected results by Caterpillar boosted confidence in machinery producers.

Metal, banking and consumer durable stocks paced the rally in India.

The 30-share index Sensex marked its closure at 16,739.33 after gaining 258.13 points, whereas the broad-based NSE Nifty ended at 5,037, up 78.60 points.

Stock market analyst, Vishwas Agarwal stated that for BSE Sensex, 16,786 is a crucial level to cross, which will aid the market to rally for the 17,000-17,250 range. Below that point some amount of profit booking may be witnessed because of sharp rise.

Mr, Agarwal also said that the better than expected result of Reliance assisted the market to continue its bullish trend. Volatility may be seen due to the result season and that would generate plentiful trading opportunities.

He anticipates market to go northward until second week of May unless there is some negative news in the awaited CRR policy.