A morning walk down Dalal Street | Nifty must surpass and close above 10,750 for bulls to take control

Market ignored the exit of Dr. Urjit Patel as the governor of RBI as a setback for BJP in the three Hindi speaking heartland states namely Chattisgarh, MP, and Rajasthan.

The final tally – the S&P BSE Sensex closed 190 points higher at 35,150 while for the Nifty the rally was about 60 points. It closed above its crucial resistance mark of 10,500 at 10,549 on Tuesday. 

Indian market recouped losses and broke out in green in afternoon trade as trends indicated that single party might be getting a majority in all states which could have aided sentiment on the markets.

Technically, much of the Tuesday’s rally could be on the back of short coverings but for bulls to take control, Nifty has to surpass and close above its 200-DMA placed around 10750.