Mumbai: The benchmark indices on Tuesday witnessed range-bound activity. BSE Sensex was closed at 61,761 points. Among sectors, some buying was seen in selective IT stocks whereas PSU Bank index corrected sharply, shed nearly 2.5 per cent. Technically, after an early morning intraday rally the index witnessed profit booking at higher levels. However, the short-term formation is still in to the positive side.
On daily charts the index has formed small bearish candle, which indicates indecisiveness between the bulls and bears.
“We are of the view that, as long as the index is trading above 61,500 points, the positive sentiment is likely to continue. Above which the market could rally till 62,000-62,200,” says Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities.
On the flip side, quick intraday correction possible if the index succeeds to trade below 61,500 points, below which the index could slip till 62,300-61,200 range.
