Markets open on a welcoming note

The Nifty inched up in early deals on Wednesday as traders found value in beaten down blue chips post their disappointing earnings. Broader indices such as the CNX Mid Cap Index and the CNX Small Cap Index also posted smart gains in initial trades.

Traders are using Nifty's downdraft below the crucial 200-DMA and the impending monthly futures and options expiry to buy into quality stocks.

The Nifty rose 35 points to 8,372 points in early deals. The Advance-Decline Ratio was at 36/14 with Bank of Baroda, Wipro and PNB gaining ground compared with Asian Paints, Bosch and HDFC that fell below their previous close. The Bank Nifty rose 64 points to 18,314. Positive trends were also seen in sectoral indices like CNX IT, CNX Media and CNX Metals space.

And on the Bombay Stock Exchange, the Sensex rose 53 points to 27,513 points in early morning deals on Wednesday. Stocks that led gainers included Vedanta, Tata Steel and HDFC while ONGC, Dr. Reddy's and ITC were on top of the losers’ list. As a consequence, the Advance-Decline Ratio stood at 19/11.

The markets were equally strong in the futures and options space with Sun TV and Amtek Auto showing up on the top gainers’ list versus Tata Communications and Glenmark that fell. The Advance-Decline Ratio, meanwhile, stood at 86/52.

The broader market, too, showed the dominance of bulls with 895 shares gaining ground compared with 273 that lost.

Meanwhile, companies such as Pidilite, Dalmia Bharat posted smart gains post earnings.

(Image credits: Pardaphash)