Stock market today: Indian equity benchmarks traded sharply higher in noon deals on Wednesday, buoyed by easing crude oil prices, encouraging remarks from the RBI Governor on the interest rate outlook and inflation trajectory, and strong buying interest in heavyweight banking and financial stocks. Gains in frontline lenders helped counter concerns about further US Federal Reserve rate hikes and below-normal monsoon rainfall.
The Nifty 50 rose 0.95% at 24,048.85, while the BSE Sensex added 1.27% to 77,165.31, as of 14:12 IST.
However, the broader market remained subdued despite the rally in benchmark indices. The Nifty Smallcap 100 index declined 0.26%, while the Nifty Midcap 100 index slipped 0.01%.
Among sectoral indices, banking, financial services, cement and information technology stocks led the gains, with financial heavyweights providing the biggest support to the headline indices.
Market breadth remained marginally negative. Out of 3,231 stocks traded on the NSE, 1,519 advanced, 1,612 declined, while 100 stocks remained unchanged.
Market Review and Outlook – Ruchit Jain, Head – Equity Technical Research, Wealth Management, Motilal Oswal Financial Services
Post forming a higher bottom around the 23,000 mark, Nifty 50 has seen an upmove with a broader market participation in the last three weeks. The index has now been consolidating for the last seven sessions between its 20 and 100 DEMA. The 20 DEMA support is around 23,780, while the 100 DEMA resistance is around 24,200. A breakout above 24,200 will lead to a resumption of the positive momentum, and the index can rally up to 24,500. The Banking and Financial Services indices have been showing strength and could lead the benchmark higher.
Shares to buy or sell in the near-term – Ruchit Jain
On shares to buy or sell in the near-term, Ruchit Jain recommends AXIS Bank Ltd, and Genus Power Infrastructures Ltd.
Axis Bank
The Private Banks are witnessing a positive trend, and within this space, Axis Bank has broken out of consolidation, hinting at a continuation of the uptrend. Hence, traders can buy the stock around the CMP of ₹1,375, with a stop-loss below ₹1,340, for a potential target of around ₹1,440 in the near term.
Genus Power Infrastructures
The stock has broken out of its consolidation phase with high volume. During the consolidation phase, prices had formed a base above the 50 DEMA support, and this breakout hints at a positive trend. Hence, traders can buy the stock in the range of ₹340-344 with a stop-loss below ₹328, targeting around ₹372 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.
