Stock market today: The domestic stock markets began on a cautious note coinciding with the significant meeting between U.S. President Donald Trump and Chinese President Xi Jinping, with analysts anticipating that Indian markets could reach new all-time highs in the upcoming weeks.
The Nifty 50 index started at 25,984.40, reflecting a slight decline of 69.50 points or 0.27 percent, while the BSE Sensex opened at 84,754.92, down by 242.21 points or 0.28 percent.
Analysts observed that despite the cautious opening, the Nifty 50 could achieve a new all-time high within the next few weeks, thus ending 13 months of negative returns. The market sentiment is bolstered by the belief that earnings have hit their lowest point and that sectors like financials, power, industrials, and automobiles will spearhead the next growth phase.
Nifty 50 Outlook by Osho Krishan, Sr. Analyst, Technical & Derivatives, Angel One
The benchmark index Nifty 50 started the day on a mild positive note, and as trading progressed, prices climbed steadily higher through the session. Eventually, Nifty 50 ended with gains of over half a percent, reclaiming the 26,050 mark on a closing basis for the first time in this calendar year.
Technically, the smaller candles on the daily chart indicate a phase of consolidation within last Thursday’s trading range, yet the undertone remains distinctly positive. The ongoing sideways move seems to be more of a pause ahead of the FOMC outcome, especially as short-term indicators have entered the overbought zone.
The coming session is likely to be another action-packed one, where we maintain our recent stance of buying on dips. Immediate support continues to lie around 25,800–25,700, the recent base and breakout zone from the previous consolidation. Since prices have now convincingly surpassed the psychological hurdle of 26,000, this level should act as a near-term intraday support, ideal for adding on dips. On the upside, the recent hurdle and all-time high zone of 26,200–26,300 remains the next key resistance range, beyond which the index could witness fresh leg of sharp upside in the near term.
The real action, however, was seen outside the benchmark index. Broader markets continued to outperform, with several individual stocks delivering impressive moves. Notably, the Nifty Midcap 100 Index broke above the 60,000 mark for the first time in over a year, a level that had acted as stiff resistance on two earlier occasions. This breakout, coupled with strong buying across mid- and small-cap segments, is likely to fuel further optimism and breadth in the market. Traders are advised to continue focusing on this space for potential outperformance.
Stocks To Buy on Thursday- Osho Krishan
On stocks to buy on Thursday, Osho Krishan of Angel One recommended two stocks – NHPC Ltd, and Infosys Ltd.
NHPC Ltd
NHPC has showcased a strong resurgence after an extended period of correction on the daily chart. This recent upward movement is corroborated by increased trading volumes and favorable technical indicators. Specifically, the RSI has signaled a positive crossover as the stock has surpassed the 20-DEMA. Additionally, from a risk-reward perspective, the stock is currently situated in an attractive zone for prospective investors.
Hence, we recommend a BUY in NHPC around ₹85-84 with a Stop Loss of ₹82 and a Target of ₹92-94.
Infosys Ltd
Infosys has experienced a substantial decline in the current calendar year and is currently gaining some stability at the lower end. The daily chart reveals a bullish Flag formation and the 14-period RSI, suggests an initial indication of a potential counter-trend. Also, there is a positive crossover seen between short term EMAs, adding bullish quotient and from a risk-reward point of view, the counter is situated at a favorable position and is likely to gain bullish traction in near period.
Hence, we recommend a BUY in Infosys around ₹1,500 with a Stop Loss of ₹1,460 and a Target of ₹1,570.
Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decision.
