Sensex, Nifty extend gains for the 7th day amid strong global cues; IT stocks shine

Market breadth remained firmly positive with 1,985 stocks advancing, 539 declining

Indian benchmark indices Sensex and Nifty continued their upward trajectory for the seventh consecutive session on April 23, buoyed by robust global cues. The rally was broad-based, with strong buying interest visible across sectors. Notably, IT stocks were at the forefront of the gains, as investors reacted positively to HCL Technologies' March quarter results, which aligned with market expectations.

Around morning, the Sensex had surged by 531.31 points, or 0.67 percent, reaching 80,126.90. Meanwhile, the Nifty climbed 155.30 points, or 0.64 percent, to touch 24,322.55. Market breadth remained firmly positive with 1,985 stocks advancing, 539 declining, and 114 remaining unchanged.

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Among sectors, the Nifty IT index stood out as the top performer, rising over 3 percent. The rally was spearheaded by HCL Technologies, which was followed closely by gains in Infosys, Tech Mahindra, Wipro, and TCS. Besides IT, the Nifty Auto and Nifty Realty indices also clocked gains of about 1 percent each.

Volatility inched slightly higher, with the India VIX, trading mildly up around the 15 mark. In the broader market space, midcap stocks continued to outperform their smallcap counterparts.

VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services, said that comments from US President Donald Trump helped ease investor nerves.

"Trump’s assurance that he won’t remove the Fed chief settled the US markets, which in turn lifted sentiment in both Asian and Indian markets," he said. He also noted that Trump’s softer tone on Chinese tariffs suggested a potential easing in US-China tensions. Additionally, persistent buying by FIIs remains a key pillar of support for Indian equities.

Devarsh Vakil, Head of Prime Research at HDFC Securities, pointed out that the Nifty has now bounced back by more than 2,400 points from its recent swing low of 21,743. However, he cautioned that the index may face strong resistance around the 24,545 mark, which coincides with the 61.8 percent Fibonacci retracement level of the full correction from the all-time high of 26,277.

On the downside, he noted that support is expected near the previous swing high of 23,870, which could serve as a near-term floor in case of a market pullback.