Short covering drives the markets upward The

According to V.K. Vijayakumar, chief investment strategist at Geojit Financial Services, the anxieties brought on by the continuing Israel-Hamas war had led to the establishment of significant short positions in the market. Now that these shorts are being covered, the markets are rising.

TCS’s results are uneven, with the top line being underwhelming and the bottom line and margins doing well. To form an opinion on the IT sector, the market will wait for Infosys and HCL Tech’s reports, which are expected on Thursday. He said that there was still more vigor in the banking stock surge.

Positive events exist that have the potential to support the market’s surge. Positive market indicators include the steadily lowering dollar index and US bond rates, falling oil, and a substantial decline in FII selling in the cash market. It would be a boost for the bulls if the US CPI inflation data, which is due tonight, falls below 3.6%, he said.

As the result season is about to begin, we expect market volatility, according to Vaishali Parekh, Vice President — Technical Research, Prabhudas Lilladher. The Nifty continued with the positive move to close above the 19,800 zone, further improving the bias amid the tensions in the Middle East.

The index would have a short-term support level of 19,600, and a short-term aim of 20,000 would now be anticipated. According to Parekh, the resistance for the day is at 19,950 levels and the support is at 19,700 levels.

On Thursday, the BSE Sensex is up 4 points at 66,477 points. Maruti has increased by 1.7%.