Buy or sell stocks: The Indian stock market ended its two-day losing streak on Wednesday, April 1, as both the Sensex and Nifty 50 posted robust gains in line with positive global cues.
The Sensex climbed 1,187 points, or 1.65%, to close at 73,134.32, while the Nifty 50 advanced 348 points, or 1.56%, to settle at 22,679.40. Broader markets also performed strongly, with BSE midcap and small-cap indices rising by as much as 3%.
Stock market today
Nifty 50
On Wednesday, the Nifty 50 opened on a strong note with a sharp gap-up at 22,899 and touched an intraday high of 22,941.30 during the first half of the session. However, in the latter half, the index witnessed profit booking, which dragged it down to an intraday low of 22,618.60. Despite the late-session pressure, the index managed to close in positive territory at 22,679.40, registering a gain of 348 points or 1.56% over the previous close.
According to Sumeet Bagadia, Executive Director at Choice Broking, on the daily timeframe, the initial gap-up was completely filled due to selling pressure in the second half, indicating the presence of supply at higher levels and highlighting caution near key resistance zones.
“From a technical perspective, immediate support for the index is placed in the 22,500–22,550 range, while resistance is observed between 22,800 and 22,850 levels. The Relative Strength Index (RSI) is presently at 37.08. Although early indications of a rebound are visible, it still remains below the midpoint mark, and a consistent move above this level would be needed to validate stronger bullish momentum,” Bagadia said.
Bagadia further advised traders to operate within key support and resistance zones and wait for clear direction before taking any long or short positional trades, given the current uncertainties.
Bank Nifty
The Bank Nifty index remained volatile throughout the trading session. It opened with a sharp gap-up of 1,158.55 points at 51,433.90. Soon after the opening, the index faced profit booking, which pushed it down to an intraday low of 51,133.55. This was followed by a recovery supported by buying interest, driving the index higher to an intraday high of 52,025.85. However, selling pressure at elevated levels re-emerged, and the index eventually closed at 51,448.65, registering a gain of 1,173.30 points or 2.33% for the day.
Bagadia further noted that the index formed a Doji-like candlestick pattern, reflecting indecision in market direction. This indicates that traders should remain cautious and wait for confirmation of a clear trend before initiating directional trades.
“From a technical perspective, immediate support for the index is placed in the 51,100–51,200 range, while resistance is observed in the 51,700–51,800 zone. The Relative Strength Index (RSI) is currently at 34.61, indicating that the index is hovering near the oversold region and attempting a recovery. A sustained upward move in the RSI would be necessary to confirm strengthening momentum,” he added.
He suggested traders to remain more vigilant near crucial demand and supply zones and look for a clear breakout from either zone before entering new trades.
Sumeet Bagadia’s stocks to buy
Sumeet Bagadia recommends five shares to buy on Thursday, April 2: KSB, Natco Pharma, Quality Power Electrical Equipments, Great Eastern Shipping Company, and Karnataka Bank.
1] KSB: Buy at ₹828, Target ₹890, Stop Loss ₹797
KSB share price is showing a strong recovery after a prolonged downtrend, with the stock breaking above its key moving averages and gaining momentum. The recent rally has pushed the price above the key EMA cluster, indicating a shift in short-term trend.
The stock is now sustaining above the 800 zone, which acts as immediate support. Momentum indicators are also improving, suggesting further upside potential. As long as KSB holds above 797, the structure remains positive, and a move towards 890 levels looks achievable in the near term.
2] Natco Pharma: Buy at ₹1002, Target ₹1060, Stop Loss ₹960
Natco Pharma share price is gradually building strength after a prolonged consolidation phase ranging from 925-960 levels, with price action indicating a shift from weakness to accumulation. The stock has recently crossed above its short-term moving averages and is attempting to sustain above the 1000 mark, which is a key psychological resistance.
The rising price structure, along with improving RSI, reflects increasing buying interest. The 960 level remains a strong base for the current move. As long as this support holds, the stock has the potential to extend its upward move towards the 1060 zone.
3] Quality Power Electrical Equipments: Buy at ₹866, Target ₹930, Stop Loss ₹826
Quality Power Electrical Equipments share price is witnessing a strong base formation around 790 levels after its earlier volatility, with the stock now moving into a tight consolidation range near the range breakout levels of 865 near cmp price. The price is comfortably holding above its short-term moving averages, indicating sustained buying support. The narrowing price range suggests a potential breakout setup, as sellers seem to be losing control. Volume behavior also points towards quiet accumulation at current levels. The 826 zone continues to act as a solid demand area and stop loss levels. A decisive move above recent highs can trigger fresh momentum towards the 930 target levels.
4] Great Eastern Shipping Company: Buy at ₹1460, Target ₹1565, Stop Loss ₹1400
Great Eastern Shipping Company share price continues to remain in a strong uptrend, supported by a clear higher high and higher low formation. The stock has been consistently trading above its key moving averages, reflecting sustained buying interest.
Recent price action shows consolidation near all-time high levels, indicating strength rather than weakness. The 1400 zone acts as a crucial support, while the stock is attempting to move higher from this base. Momentum remains intact as dips are getting bought into. Technically, the next upside target is placed near 1565, which aligns with the 0.5 Fibonacci extension level, indicating potential continuation of the ongoing uptrend.
5] Karnataka Bank: Buy at ₹230, Target ₹245, Stop Loss ₹220
Karnataka Bank share price is showing strong bullish momentum with a consistent higher high and higher low formation on the daily chart. The stock has recently retested the 220 zone, which aligns with its previous swing high and 20 EMA support, and has bounced back sharply.
It continues to trade above key moving averages, indicating strength in the trend. The 220 level remains a crucial support, while the stock is now sustaining near 230. A continuation of this momentum can drive the stock towards 245 target levels in the near term.
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.
