Sensex ends 254 points up

MUMBAI: Benchmarks snapped a three-day losing streak on Thursday to close higher after strong wave of value buying emerged at lower levels accompanied by a bout of short covering. Gains in European markets further boosted sentiment.
Bombay Stock Exchange closed at 15,769.72, higher by 254.93 points or 1.64 per cent. The 30-share index touched a high of 15,814.80 and low of 15,314.02 intraday.
National Stock Exchange���s Nifty closed at 4,676.95, up 91.35 points or 1.99 per cent. The index gyrated between a high of 4690.60 and low of 4536.25 during the day.
There was not much relief for Tier II and III stocks as they continued to drag after the recent sell-off. BSE Midcap Index ended flat at 6,400.29 and BSE Smallcap Index closed up 0.20 per cent at 7,735.59.
Analysts say that market experienced a technical bounce back and is likely to see some more upside from here.
"Of late, whenever market has fallen from higher levels, it has found intermediate support at close to 15,300 levels. What we witnessed today was purely a technical bounce-back. Also, market was in an over-sold zone and there was no more room for a further fall," said Imtiyaz Qureshi, technical analyst with India Capital Markets.
However, the market will take cues from Asian markets and inflation figures Friday. Qureshi expects the Sensex to go up to 16,300 levels.
"The upward momentum is likely to continue and Sensex may test 16,066 levels. Once it manages to sustain that, then the next resistance will come around 16,328 levels. Nifty closed above the 3 DEMA (daily exponential moving average) of 4,673. It can go up to 4814 and 4899 from here," he added.
Major buying was seen in IT stock, with BSE IT Index closing over 5 per cent at 4,617.44. BSE Realty Index remained under pressure and closed 1 per cent lower at 6,326.05.
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