Indian shares advanced for yet another day, as the benchmark indices Nifty and Sensex hit fresh lifetime highs of 10,782.65 and 34,963.69 in intraday. The Sensex ended 251.12 points or 0.73 per cent higher at 34,843.51 today, while the NIfty gained 60.30 points or 0.56 per cent to close at 10,741.55 today. Both are closing high, as well. However, out of total 50 stocks in the Nifty50 index, only 20 ended the day in the green, while 30 in the red.
Benchmark indices ended at record closing highs today led by stocks of private lenders, with better-than-expected growth in industrial output and a global equities rally boosting sentiment. Industrial activity in the country, as measured by the Index of Industrial Production (IIP), brought some cheer rising to a 25-month high of 8.4% in November from 2.2% the previous month. Meanwhile, Inflation based on wholesale prices eased to 3.58% in December 2017 (compared to 3.93% in November 2017) as prices of food articles declined even as fuel cost witnessed a surge.
The Nifty50 opened in the positive and took its winning streak to the third consecutive session today and as it hit another milestone, closing above the 10,700 mark for the first time. The index formed a Shooting Star-like pattern on the daily chart, which is a reversal pattern. Followup selling pressure with a bearish candle is needed for validation of the pattern. The Nifty has upward resistance at 10,750 and 10,780 levels, as it is the 161.8 per cent retracement of the previous swing, which completed today. This may cause some concerns among the short-term bulls. Support in the intermediate scenario is seen in the 10,680-10,650 range.