The domestic equity market remained in consolidation mode today, even as both Sensex and Nifty managed to eke out small gains to rise for sixth straight day on strong gains in frontline IT stocks. The Nifty50 index closed 6.45 points, or +0.06 per cent, up at 10,348.75 today, while the BSE Sensex settled 26.53 points, or +0.08 per cent, up at 33,588.08 today. Among the 50 stocks in the Nifty50 index, 21 ended the day in the green, while 29 in the red. As many as 106 stocks hit fresh 52-week highs on NSE today. On the other hand, 22 stocks hit fresh 52-week lows on the NSE.
In a volatile trading session, the benchmark indices ended flat with the Nifty settling below 10,350 as the market consolidated in want of fresh triggers after the September quarter earnings season wound down. Shares of insurance companies shed up to -5% after the Finance Ministry formed a task force to study and submit a report on redrafting of the direct tax code within six months. Meanwhile, a rally in oil prices continued to reduce expectations of rate cuts ahead of the Reserve Bank of India's policy meeting early next month.
The Nifty50 remained volatile for most part of the session and formed a 'Doji' pattern for the third consecutive session today. The index faced Resistance at the 10,380 level during the session, but later found support and attracted buying interest around the 10,310 level. This was the fifth session when the index moved in a 70-point range. The consolidation is being seen around the support zone at 10,320, the 20-day SMA, and it requires a decisive hold above 10,350 to extend the move towards 10,400 and then 10,420 levels. On the downside, the Nifty50 has support at 10,300 and then 10,250 levels.