Stock market news: The Indian stock market benchmark indices retraced on Monday after a robust rally following the RBI announcement and finished the day sharply lower.
The Sensex dipped 0.71% to 85,102.69, while the Nifty 50 closed 0.86% lower at 25,960.55, halting its two-day upward trend as investors took profits at elevated levels.
The primary factor contributing to the cautious sentiment was the approaching US Federal Reserve meeting. While the market anticipates that the Fed will reduce rates, traders are concerned that its outlook on future cuts may be more conservative.
In the commodity market, MCX gold and silver prices fell in line with the decline in international bullion prices as investors remained wary ahead of the US Federal Reserve’s two-day policy meeting and Chair Jerome Powell’s comments for insights on upcoming monetary policy.
Market outlook and key drivers
Siddhartha Khemka, the Head of Research at Motilal Oswal Financial Services Ltd’s Wealth Management division, mentioned that he anticipates market volatility in the lead-up to the US Fed’s policy decision, with discussions around the interest-rate outlook affecting global investor sentiment.
“Domestically, elements such as the movement of the INR against the USD, trends in FII flows, and the liquidity conditions in the secondary market, amidst heightened investor activity in primary markets, are expected to impact the market direction in the near term,” said Khemka.
Trade Setup for Tuesday
Rupak De, a Senior Technical Analyst at LKP Securities, noted that the Nifty 50 pulled back after the optimism surrounding the monetary policy day, dropping below the 26,000 support level. For the first time in several days, the index has closed beneath the 21 EMA, suggesting a weakening trend. Reinforcing this perspective, the RSI has once again demonstrated a bearish crossover. Compounding the negative outlook, Nifty 50 recorded its lowest closing in nine days, indicating broader weakness, while the India VIX also experienced a rise.
“Short-term sentiment appears weak, with the index likely heading towards 25,730. On the upside, resistance is situated in the range of 26,000–26,100,” said De.
Stocks to buy today
Market experts recommended seven intraday stocks. The experts include Sumeet Bagadia (Choice Broking), Ganesh Dongre (Anand Rathi), and Shiju Koothupalakkal (Prabhudas Lilladher).
Sumeet Bagadia’s stock picks
Can Fin Homes Ltd: Bagadia recommends buying Can Fin Homes shares at ₹913, with a stop-loss at ₹881, and a share price target of ₹977.
Sumeet Bagadia said that Can Fin Homes share price was trading at 913, the stock is in a strong upward trend, supported by steady buying interest and sustained higher price action. After retesting its previous higher levels, the stock has once again moved upward to register a fresh 52 weeks high of 932, reflecting renewed confidence among market participants. The overall structure indicates strength, with consistent bullish candles and rising volumes confirming the momentum.
“Based on the technical analysis and current market conditions, Can Fin Homes share price presents a promising buying opportunity for those aiming for a 977 target, provided that appropriate risk management strategies are in place,” said Bagadia.
PB Fintech Ltd: Bagadia recommends buying PB Fintech shares at ₹1,914, with a stop-loss at ₹1,850, and a share price target of ₹2,042.
Sumeet Bagadia said that PB Fintech share price was trading at 1,914, the stock is showing a steady upward bias with a sustained series of higher highs and higher lows, indicating buyers gradually taking control after an extended consolidation phase. The recent price action suggests a breakout attempt from a broad range-bound structure, resembling a horizontal channel that has been tested multiple times.
“Based on the technical analysis and current market conditions, PB Fintech share price presents a promising buying opportunity for those aiming for a 2,042 target, provided that appropriate risk management strategies are in place,” said Bagadia.
Ganesh Dongre’s stocks to buy today
One 97 Communications Ltd (Paytm): Ganesh Dongre recommends buying Paytm shares at ₹1,320 with a stop-loss at ₹1,280, with a Paytm share price target of ₹1,360.
Ganesh Dongre said that in the recent short-term trend analysis of the stock, a notable bullish reversal pattern has emerged. This technical pattern suggests the possibility of a temporary retracement in the stock’s price, potentially reaching around ₹1,360. At present, the stock is maintaining a crucial support level at ₹1,280.
“Given the current market price of ₹1,320, a buying opportunity is emerging. This suggests that investors might consider purchasing the stock at its current price, anticipating a rise towards the identified target of ₹1,360,” said Dongre.
Union Bank of India: Ganesh Dongre recommends buying Union Bank of India shares at ₹150 with a stop-loss at ₹146, with a Union Bank of India share price target of ₹162.
Ganesh Dongre said that we have seen a major support in this stock around ₹146. So, at the current juncture, the stock has again seen a reversal price action formation at the ₹150 price level, which may continue its rally till its next resistance level of ₹162 so traders can buy and hold this stock with a stop loss of ₹146 for the target price of ₹162 in the upcoming weeks.
KFin Technologies Ltd: Ganesh Dongre recommends buying KFin Technologies shares at ₹1,040 with a stop-loss at ₹1,015, with a KFin Technologies share price target of ₹1,115.
Ganesh Dongre said that stock has exhibited a strong notable continue bullish pattern, offering another promising opportunity for short-term traders. The stock is currently priced at ₹1,040 and maintaining a strong support at ₹1,015.
“The technical setup indicates the potential for a price retracement towards the ₹1,115 level. With the stock reversing from a support base and showing signs of renewed strength, entering at the current market price with a stop-loss at ₹1,015 offers a prudent approach to capturing the anticipated upside,” said Dongre.
Shiju Koothupalakkal intraday stocks for today
PB Fintech Ltd: Shiju Koothupalakkal recommends buying PB Fintech shares at ₹1,913.90 with a target price of ₹2,000 and a stop-loss of ₹1,880.
Shiju Koothupalakkal said that the stock has slowly and gradually picked up from the important 50EMA at 1,765 zone, with currently moving above the long term trendline zone at 1,880 level with rising volume participation visible, to improve the bias anticipating for further rise in the coming days.
“The RSI is on the rise with strength indicated and can carry on with the positive move further ahead with upside potential visible. With the chart technically looking good and attractive, we suggest buying the stock for an upside target of 2,000 keeping the stop loss of 1,880 level,” said Koothupalakkal.
Ather Energy Ltd: Shiju Koothupalakkal recommends buying Ather Energy shares at ₹678.75 with a target price of ₹720 and a stop-loss of ₹665.
Shiju Koothupalakkal said that the stock after a short dip has consolidated near the 670 zone, with signs of improvement once again with price spurt and volume spikes visible to anticipate for another fresh round of upward move in the coming sessions.
“The RSI is currently well positioned and with indications of bias improving, we expect further rise having upside potential anticipating for further gains. With the chart technically looking attractive, we suggest buying the stock for an upside target of 720 keeping the stop loss of 665 level,” said Koothupalakkal.
Coromandel International Ltd: Shiju Koothupalakkal recommends buying Coromandel International shares at ₹2,314 with a target price of ₹2,420 and a stop-loss of ₹2,270.
Shiju Koothupalakkal said that the stock has indicated a higher bottom formation on the daily chart taking support near the important 50EMA at 2,260 level, having a pullback visible to improve the bias and expect for further upward move in the coming days.
“The RSI has corrected from the overbought zone and is currently well placed with signs of improvement visible to expect for further gains. With the chart technically looking good, we suggest buying the stock for an upside target of 2,420 keeping the stop loss of 2,270 level,” said Koothupalakkal.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
