Buy or sell stocks: The Indian stock market closed on a strong note on Monday, April 6, with both indices rising over 1% each, led by mixed global cues, ease in crude oil prices, and recovery in the Indian rupee.
Marking a third straight session of gains, the Sensex climbed 787 points, or 1.07%, to finish at 74,106.85, while the Nifty 50 rose 255 points, or 1.12%, to settle at 22,968.25.
Stock market today
Nifty 50
On Monday, the Nifty 50 opened on a flat-to-positive note at 22,780.30 and witnessed profit booking in the first half, slipping to an intraday low of 22,542.95. In the latter half, strong buying interest emerged, and the index climbed to an intraday high of 22,998.35 and eventually closed near the day’s high at 22,968.25, registering a gain of 255.15 points or 1.12% over the previous close.
According to Sumeet Bagadia, Executive Director at Choice Broking, on the daily timeframe, the formation of a hammer candlestick pattern indicates strong demand at lower levels and improving sentiment.
“From a technical perspective, immediate support is placed in the 22,650–22,700 range, while resistance is observed between 23,150 and 23,200 levels. The Relative Strength Index (RSI) stands at 41.26, showing a recovery from lower levels but still below the midpoint of 50, indicating that momentum is improving but not yet confirmed. In the derivatives segment, notable call writing was seen at the 23,000 strike, followed by 23,200, while significant put writing was observed at 22,900 and 22,800 levels, indicating near-term support zones,” Bagadia said.
Bank Nifty
The Bank Nifty index opened on a flat note at 51,747.60 and faced selling pressure in the early session, declining to an intraday low of 51,111.10. However, strong buying interest in the latter half triggered a sharp recovery of over 1,500 points, pushing the index to an intraday high of 52,704.55. The index closed at 52,609.10, gaining 1,060.35 points or 2.06% for the day.
Bagadia noted that the formation of consecutive strong bullish candles reflects sustained buying interest and improving market sentiment.
“From a technical standpoint, immediate support is placed in the 52,000–52,100 range, while resistance is seen in the 52,950–53,000 zone. The Relative Strength Index (RSI) stands at 40.47, indicating a gradual recovery from lower levels but still below the midpoint of 50. Sustaining above this level would be important to confirm strengthening momentum,” he said.
Bagadia further explained that the recent price action suggests a gradual improvement in market sentiment, supported by buying at lower levels. While the undertone remains constructive, the sustainability of this move will depend on continued strength above key resistance zones.
Traders are advised to stay selective and rely on price confirmation around crucial levels before initiating fresh positions, he added.
Sumeet Bagadia’s stocks to buy
Sumeet Bagadia recommends five shares to buy on Tuesday, April 7: Lloyds Metals And Energy, Fsn E-Commerce Ventures, Aditya Birla Sun Life Amc, Steel Authority of India, and Praj Industries.
1] Lloyds Metals And Energy: Buy at ₹1436.70, Target ₹1700, Stop Loss ₹1360
Lloyds Metals and Energy share price has demonstrated a strong reversal from the 200 DEMA, indicating bullish momentum in the near term. The stock is currently trading around ₹1436.70 and has closed in the green for the fourth consecutive session, highlighting sustained buying interest. It has also surpassed a recent swing high of ₹1395 and delivered a strong close above the psychological level of ₹1400, reinforcing the positive sentiment.
For short-term traders, the current price levels could offer a potential buying opportunity. A stop loss may be placed at ₹1360, with a target of ₹1700, while maintaining strict risk management discipline.
2] FSN E-Commerce Ventures (Nykaa): Buy at ₹252.5, Target ₹280, Stop Loss ₹243
Nykaa share price is currently trading around ₹252.5 and has broken out of a consolidation zone near its 200 DEMA, supported by the formation of a strong bullish candle, reflecting renewed buying interest. The stock has also breached a falling trendline, suggesting a potential trend reversal to the upside. Its position comfortably above the 20, 50, 100, and 200-day EMAs highlights strong momentum across short-, medium-, and long-term timeframes.
The RSI at 54.06 indicates improving strength with room for further upside. Short-term traders may consider initiating long positions at current levels, with a stop loss at ₹243 and an upside target of ₹280, while maintaining disciplined risk management.
3] Aditya Birla Sun Life AMC: Buy at ₹947.10, Target ₹1040, Stop Loss ₹914
Aditya Birla Sun Life AMC share price is currently trading around ₹947.10 and has taken support from the recent low formed near the 50 DEMA, suggesting a continuation of the prevailing uptrend. The stock has also broken out of a falling trendline, accompanied by the formation of a strong bullish candle, indicating a potential shift in momentum in favour of the bulls.
Downside support is placed near ₹935, marking a strong demand zone and limiting near-term downside risk. Healthy volumes further validate the strength of the move. Short-term traders may consider buying at current levels, with a stop loss at ₹914 and a target of ₹1040, while maintaining prudent risk management.
4] Steel Authority of India: Buy at ₹160.44, Target ₹174, Stop Loss ₹154.5
SAIL share price is showing early signs of recovery by forming a short-term rounding bottom pattern, suggesting a gradual trend reversal. The stock is trading at ₹160.44 and has formed a strong bullish candle for the fourth consecutive session, reflecting sustained buying interest and improving sentiment.
Downside support is placed near ₹158.5, marking a strong demand zone and limiting near-term downside risk. Healthy volumes further validate the strength of the move. Short-term traders may consider buying at current levels, with a stop loss at ₹154.5 and a target of ₹174, while maintaining prudent risk management.
5] Praj Industries: Buy at ₹344.75, Target ₹372, Stop Loss ₹331
Praj Industries share price is trading at ₹344.75 and has given a breakout from a consolidation phase, accompanied by the formation of a strong bullish candle, suggesting a continuation of upward momentum. On the weekly timeframe, the stock is also showing a bullish divergence from support levels, reflecting a potential reversal and strengthening underlying trend.
Downside support is placed near ₹336, marking a strong demand zone and limiting near-term downside risk. Healthy volumes further validate the strength of the move. Short-term traders may consider buying at current levels, with a stop loss at ₹331 and a target of ₹372, while maintaining prudent risk management.
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.
