Buy or sell stocks: The Indian stock market saw strong buying interest on Thursday, March 5, mainly driven by short covering following the recent decline that had pulled benchmark indices down by nearly 4% within a few days.
The BSE Sensex surged 900 points, or 1.14%, to close at 80,015.90, while the Nifty 50 advanced 1.17% to settle at 24,765.90.
Stock market today
Nifty Outlook
On Thursday, the Indian benchmark index Nifty 50 opened with a gap-up at around 24,615.95 and touched a low of 24,529.40 during the first half of the session. However, strong upward momentum emerged in the second half, pushing the index to an intraday high of 24,854.20. The index eventually ended the session 285.40 points higher around 24765.90, gaining 1.17% over the previous close.
According to Sumeet Bagadia, Executive Director at Choice Broking, the 24,900–24,950 range is expected to act as the immediate resistance zone, while strong support is placed around 24,600–24,650. The momentum indicator RSI is currently recovering from the oversold territory and stands at 37.55. However, it is still below the midpoint level, suggesting underlying weakness in the market.
“In the derivatives segment, notable put writing was seen at the 24,600 strike, followed by 24,500, while aggressive call writing was observed at the 25,000 strike. Considering the ongoing geopolitical tensions, traders are advised to remain cautious around the key support and resistance levels mentioned above and avoid initiating fresh directional trades until a decisive breakout occurs on either side,” Bagadia said.
Bank Nifty
The index opened today’s session on a positive note with a gap-up of nearly 260 points, but remained volatile throughout the day, indicating uncertainty in market sentiment. During the first half of the session, the index attempted to sustain above yesterday’s high; however, it failed to hold those levels and declined to an intraday low of 58,506.40.
Bagadia further noted that in the second half, the market witnessed a strong recovery, rebounding nearly 760 points from the day’s low and eventually closing at 59,055.85, above the 100-day EMA, with an overall gain of 300.60 points, suggesting buying interest at lower levels.
“From a technical perspective, the 59,300–59,400 zone remains an immediate resistance area, while the 58,700–58,800 range continues to act as an important support zone for short-term stability. The daily RSI stands at 39.66, indicating weak momentum with a bearish bias, though it is still above the oversold zone. Traders are advised to remain cautious near key support levels and wait for a clear breakout above resistance before initiating fresh directional trades,” he added.
Sumeet Bagadia’s stocks to buy
Sumeet Bagadia recommends five shares to buy on Monday: Power Finance Corporation, Jammu and Kashmir Bank, Sarda Energy & Minerals, Bandhan Bank, and Hindalco Industries.
1] Power Finance Corporation: Buy at ₹413.6, Target ₹438, Stop Loss ₹397
PFC share price is displaying a strong bullish setup after taking support near its key moving averages. On the daily chart, the stock recently rebounded from the confluence of the 50-day and 100-day EMA, indicating strong demand at lower levels. The latest session showed a decisive bullish candle with the price reclaiming the ₹400 psychological zone and closing near the day’s high. Importantly, the stock has moved above all major EMAs and also closed above the previous two-day highs, reflecting strengthening momentum and renewed buying interest. As long as the price sustains above ₹400, the structure favours continuation toward ₹438, with ₹397 acting as a protective stop loss.
2] Jammu and Kashmir Bank: Buy at ₹120.95, Target ₹130, Stop Loss ₹117.2
Jammu and Kashmir Bank share price is exhibiting strong bullish momentum on the daily chart. Over the past week, the stock has rallied sharply from the ₹105 zone to around ₹120, indicating aggressive accumulation. The recent breakout above the ₹110 consolidation range has triggered fresh momentum buying, supported by rising volumes that signal strong market participation. Price is comfortably trading above the 20, 50, 100 and 200-day EMAs, confirming a well-established uptrend structure. With the stock now approaching its 52-week high zone, sentiment remains positive and continuation of the trend could push prices toward ₹130. Immediate risk can be managed with a stop loss at ₹117.2.
3] Sarda Energy & Minerals: Buy at ₹542.5, Target ₹578, Stop Loss ₹522
Sarda Energy & Minerals share price continues to maintain a healthy higher-high and higher-low formation, indicating a sustained bullish trend on the daily timeframe. The stock has consistently respected the 20-day EMA as dynamic support, with recent pullbacks finding demand around this level. In the latest session, the price rebounded strongly from the moving average zone and continued its upward momentum, reflecting underlying strength in the trend. The structure suggests that buyers are defending the short-term support area effectively. As long as the stock sustains above the recent swing low near ₹522, the bullish structure remains intact and could drive the next leg of the move toward ₹578.
4] Bandhan Bank: Buy at ₹185, Target ₹198, Stop Loss ₹177
Bandhan Bank share price has been witnessing a strong bullish phase, particularly through February, where the stock rallied nearly 30% while maintaining a clear higher-high and higher-low formation. The recent price action shows the stock taking support near its 20-day EMA, which is acting as a key dynamic support in the current uptrend. In the latest session, the stock bounced strongly from this moving average and gained around 4%, highlighting renewed buying interest at lower levels. This rebound from support reinforces the strength of the prevailing trend. As long as the price holds above ₹177, the setup favours an upside move toward ₹198.
5] Hindalco Industries: Buy at ₹955, Target ₹1030, Stop Loss ₹925
Hindalco share price has been consolidating near its 50-day and 100-day EMA zones over the past week, forming a base before the next directional move. In the latest session, the stock delivered a decisive breakout above the ₹950 resistance zone, indicating the end of the consolidation phase. This breakout was supported by a noticeable rise in volume, suggesting strong participation and fresh buying interest. With the price now trading above all key moving averages, the broader bullish structure remains intact. If momentum sustains above the breakout level, the stock has the potential to move toward ₹1030, which aligns with its previous swing high and all-time high zone, with ₹925 as the stop loss.
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.
