Sensex gains 300 points, Nifty above 14,800; banks, IT stocks lead

Indian indices opened higher on Tuesday, extending gains for another session, following a rally in global peers as a halt in a recent bond markets sell-off calmed investor's nerves. Domestically, the gains were led by banking, financial and IT stocks. 

At 9:18 am, the Sensex was up 308 points at 50,158 while the Nifty50 rose 68 points to 14,830. Broader markets outperformed benchmarks with the midcap and smallcap indices up around 0.8 percent each.

On the Nifty50 index, BPCL, IOC, Bajaj Finance, Hero Moto and Grasim were the top gainers while ONGC, HDFC, Powergrid, Hindalco and Coal India led the losses. 

Among sectors, Nifty IT rose the most, up 1 percent while Nifty Bank and Nifty Pharma were up over 0.5 percent each. However, Nifty Metal was the only index in the red.

Manish Hathiramani, technical analyst with Deen Dayal Investments said, "We are currently trading in the resistance zone of the Nifty. This range which is between 14,850-14,950 needs to be conquered if the markets want to resume the uptrend. We need to close above 14,950 at the very least.

"On the flip side, if we turn around from here, fresh shorting opportunities will emerge and take the markets south to levels closer to 14,500."

On Monday, Sensex and Nifty ended with strong gains which were led by broad-based buying across sectors. Broader markets, Nifty Smallcap100 and Nifty Midcap100 supported the rally and all the sector indices ended in the green.

All sectors also ended in the green on Monday which was led by Nifty Auto, which rose 2.4 percent. Nifty Energy and Nifty Metal were also up 2 percent for the day.

Barring Bharti Airtel, all other Nifty50 constituents ended in the green with PowerGrid Corporation, ONGC, Grasim Industries, UPL and Shree Cement rallying the most.