New Delhi [India], March 24 (ANI): Indian equity markets extended their recovery on Tuesday, with benchmark indices closing firmly in the green, reflecting improved investor sentiment amid supportive global cues. The BSE Sensex surged 1,372.06 points, or 1.89 per cent, to settle at 74,068.45, while the NSE Nifty 50 advanced 399.75 points, or 1.78 per cent, to end the session at 22,912.40.

Shrikant Chouhan, Head of Equity Research at Kotak Securities, said, 'Among sectors, all the major sectoral indices traded in the green, but the Tourism and Capital Market indices outperformed, rallying over 3.5 per cent. Technically, on the backdrop of positive global sentiment, the market opened with a gap and maintained the positive momentum throughout the day. A bullish candle on daily charts and a reversal formation on intraday charts indicate the continuation of the pullback rally in the near future.'

Chouhan added that key support levels for traders stand at 22,800/73,500 and 22,650/73,000. 'Above these levels, the market could continue its positive momentum until 23,175-23,300/74,500-74,800,' he said, cautioning that a breach below 22,650/73,000 may prompt traders to exit long positions.

Echoing a constructive outlook, Riyank Arora, Associate Vice President - HNI & Derivatives at Hedged.in, noted that despite some consolidation, the broader trend remains intact. 'Nifty witnessed some consolidation in today's session, but the broader trend continues to remain positive. The index is currently holding above key levels, indicating underlying strength in the market. The immediate support is placed around 22,500, which will act as a crucial zone to watch,' Arora said. He further highlighted that the Sensex has strong support near 72,500, adding, 'Holding above this level keeps the bullish outlook intact,' while identifying 76,000 as a key resistance zone on the upside.

Adding further technical depth, Sudeep Shah, Head - Technical and Derivatives Research at SBI Securities, provided a nuanced view of the day's price action. 'On the weekly expiry session, the benchmark index Nifty opened on a positive note, registering a gap-up start, supported by a sharp cool-off in Brent crude oil prices. The index initially slipped to an intraday low of 22624. Thereafter buying emerged at lower levels, which helped the index stage a steady recovery and move higher through the day,' he said.

He added that 'some profit booking was seen in the last hour of trade, leading to a minor pullback from higher levels.'

From a technical standpoint, Shah observed, 'On the daily chart the index has formed a small-bodied candlestick with shadows on both the upper and lower sides. This candle structure reflects uncertainty among market participants and highlights a phase of indecision after recent volatility.' He cautioned that 'while the index has posted a strong single-day rise, the broader technical setup continues to suggest a cautious to bearish undertone in the short term,' emphasizing that follow-through buying will be critical.

Looking ahead, Shah stated, 'The zone of 23030-23060 will act as an immediate hurdle for the index. A sustained move above 23060 may extend the ongoing pullback rally towards the 23200 level.' On the downside, he identified 22750-22700 as a crucial support band.

For Bank Nifty, he said, 'The zone of 53000-53100 will act as an immediate resistance area. A sustained move above 53100 could lead to further extension towards 53600, while 52200-52100 remains a crucial support region.'(ANI)