Indian benchmark indices registered an impressive late-session surge on Wednesday, closing well in the green. The Sensex advanced by 940.73 points, marking a rise of 1.22 per cent to finish at 77,958.52. The Nifty climbed 298.15 points, or 1.24 per cent, settling at 24,330.95.
According to market analysts, the Nifty demonstrated a solid recovery by surpassing the crucial resistance level of 24,300.
Experts observed that the index has built a dependable support base near 24,000, which coincides with both its 21-day and 50-day moving averages.
Furthermore, a breakout from a symmetrical triangle formation on the daily chart suggests a favourable shift in the short-term trend, with the possibility of the index advancing towards the 24,500 mark.
Investor sentiment improved notably during the second half of the session. Reports hinting at progress in diplomatic discussions between the United States and Iran boosted market confidence.
Coupled with a sharp fall in crude oil prices, these developments acted as key drivers behind the market rally.
Leading the upward movement were major stocks such as InterGlobe Aviation, Tata Motors Passenger Vehicles, and Shriram Finance, which featured among the top gainers on the Nifty index.
The broader market also reflected this positive momentum. The Nifty MidCap index rose by 1.76 per cent, while the Nifty SmallCap index posted gains of 1.93 per cent.
On the sectoral front, banking and real estate stocks outperformed. Indices tracking public and private banks, as well as realty companies, witnessed strong buying interest.
In contrast, the FMCG segment underperformed and emerged as the weakest sector during the trading day.
Experts suggest that declining oil prices and easing geopolitical risks have provided a significant boost to Indian equities. They further advise investors to remain selective, as challenges such as input cost pressures and currency fluctuations continue to pose potential risks.