On February 1, Nifty and Sensex jumped 5 percent which happens to be the highest Budget day gain in percentage terms in the last 20 years.

Nifty Bank and Financial Services indices outperformed Nifty by a huge margin, posting a single-day gain of 8 percent.

Nifty managed to retrace more than 62 percent of the entire fall which we saw from 14,753 (January 21, 2021 top) to 13,596 (January 29, 2021 bottom).

The retracement of more than 62 percent of the primary down-move, which negates the chances of the resumption of a downtrend and therefore there are good chances that Nifty might surpass the all-time high of 14,753 soon.

On January 29, Nifty took support at the upward sloping trendline, adjoining the previous major bottoms of September 24 and October 30, 2020, on the daily chart.

Nifty and Bank Nifty have registered provisional long build-up of 18 percent and 23 percent, respectively.