Stocks to buy or sell: The Indian stock market experienced a weak and volatile trading week, with benchmark indices extending their losses as a sharp rise in crude oil prices and renewed geopolitical tensions dampened investor sentiment. Banking stocks were the biggest laggards after mixed Q1 FY27 earnings, while a risk-off mood and weakness in the rupee further limited buying interest.
Despite resilient domestic macroeconomic indicators and stock-specific opportunities emerging from the ongoing earnings season, elevated oil prices and global uncertainties overshadowed the positive triggers.
As a result, the Sensex fell 2.68% to end at 76,059.77, while the Nifty declined 2.33% to close at 23,767.45. The broader market also remained under pressure, with the Midcap and Smallcap indices slipping 1.29% and 2.18%, respectively.
Stock market next week
Nifty 50
Nifty 50 opened at 23,666 with a significant gap-down, following weak market sentiment at the opening bell. The index slipped further to an intraday low of 23,606 before finding strong buying interest around the 23,650 zone, which coincided with the unfilled gap created on 15th June. This support triggered a sharp recovery, allowing the benchmark to erase a major portion of the early losses and climb to an intraday high of 23,823. Although profit booking emerged near higher levels, the index managed to close at 23,767, down 102 points (-0.43%), indicating that buyers were active at lower levels. Overall, the day’s price action reflected resilience after an early sell-off, with the market successfully defending an important support area despite the prevailing cautious sentiment.
According to Sumeet Bagadia, Executive Director at Choice Broking, Nifty formed a bullish recovery candle with a long lower shadow, indicating strong buying interest near lower levels after the early decline.
“The successful rebound from the gap support reinforces the importance of the 23,600–23,650 zone in the near term. However, the index continues to trade below its key moving averages, suggesting that the broader trend remains under pressure. The RSI slipped to 42.87, reflecting weak momentum, while India VIX rose 4.12% to 14.03, signalling higher market volatility. Immediate support is placed at 23,500–23,550, whereas 23,950–24,000 remains the immediate resistance zone. Until a decisive breakout occurs, Nifty is expected to trade within the 23,500–24,000 range, with the overall bias remaining Sideways,” said Bagadia.
Bank Nifty
Bank Nifty opened at 56,169 on a weak note and extended its decline during the initial part of the session, touching an intraday low of 56,023. However, the index witnessed strong buying interest near the 56,000 mark, which acted as a major demand zone and completely changed the intraday trend. Supported by sustained buying in heavyweight banking stocks, Bank Nifty staged a sharp recovery and rallied to an intraday high of 56,831 before settling at 56,693, gaining 101 points (+0.18%). The strong rebound from lower levels highlighted the market’s ability to absorb selling pressure and reflected improving sentiment within the banking space. Overall, the day’s price action suggested that buyers regained control after defending a crucial support level.
On the Bank Nifty outlook, Bagadia said that the index formed a strong bullish recovery candle, indicating that demand continues to emerge near key support zones. The index successfully defended the 56,000 level and, more importantly, taken support at 50 EMA in Weekly timeframe, reinforcing the positive medium-term trend despite ongoing short-term volatility.
“This recovery keeps the broader market structure constructive as long as the support zone remains intact. Immediate support is placed at 56,000–56,100, while 57,300–57,400 is expected to act as the immediate resistance area. A sustained move above this resistance could strengthen bullish momentum, whereas a break below support may invite fresh selling pressure. Until then, Bank Nifty is likely to trade within the 56,000–57,400 range, with the overall bias remaining Sideways,” he added.
Stocks to buy
Sumeet Bagadia has recommended three stocks to buy on Monday, 27 July. The three stock picks by Bagadia are – Confidence Petroleum India, Filatex India, and Ujjivan Small Finance Bank.
1] Confidence Petroleum India: Buy at ₹78.3 | Target Price: ₹84.5 | Stop Loss: ₹74
2] Filatex India: Buy at ₹73.83 | Target Price: ₹80 | Stop Loss: ₹70
3] Ujjivan Small Finance Bank: Buy at ₹70.72 | Target Price: ₹75.5 | Stop Loss: ₹67
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
