Nifty advances for second straight day

New Delhi: Nifty advanced for the second consecutive day on Friday aided by positive global cues. At close, Nifty was up 0.55 per cent or 107.8 points at 19653.5, said Deepak Jasani, Head of Retail Research at HDFC Securities.

Volumes on the NSE were at multi-week lows. Broad market indices rose in line with the Nifty even as the advance decline ratio advanced further to 1.88:1, Jasani said.

Global shares mostly rose on Friday in guarded trading ahead of a report on the US jobs market due Friday. Economists expect it to show hiring slowed to a pace of 163,000 jobs added in September from 187,000 in August.

Investors worry that too strong a US job market could add to upward pressure on inflation and pressurise the US Fed to keep rates higher for longer, he added.

Rupak De, Senior Technical analyst at LKP Securities, said the Nifty ended the week with a modest gain despite selling in the banking sector.

Overall, sentiment is expected to stay positive as long as it maintains above the critical support level of 19,500, as put writers are likely to offer support at this level. On the upside, resistance is positioned around 19,750-19,800. A strategy of buying on dips would be favourable as long as it holds above 19,500.