Buy or Sell: This week, the Indian equity benchmark Nifty 50 ended lower by 0.76%, closing at 24,363, as selling pressure intensified after the Trump administration announced an additional 25% tariff and warned of possible secondary tariffs if India continues purchasing oil from Russia.
On the domestic front, the RBI kept policy rates unchanged in its latest monetary policy meeting.
Technical Analysis
Technically, Nifty slipped below the crucial 24,800 support and extended its decline toward the 24,200–24,300 zone, which aligns with the 200-day EMA and the 38.2% Fibonacci retracement from the March low of 21,700.
The index has formed a bearish rising wedge pattern, indicating potential short-term downside, with immediate support at 24,200 and resistance at 24,800–25,000.
Bank Nifty Outlook
Bank Nifty also mirrored this weakness, forming a bearish wedge pattern, with key support at 53,800 — near its 200-day EMA and 38.2% retracement — and resistance at 56,000–57,000.
Overall, both indices show a short-term bearish bias, with global trade tensions and geopolitical risks weighing on sentiment, despite domestic policy stability from the RBI.
Market Strategy & Key Levels
On a broader timeframe, both the Nifty and Bank Nifty closed the week below their respective monthly support levels—23,800 for Nifty and 56,000 for Bank Nifty—indicating a continuation of the prevailing short-term bearish sentiment.
For the week ahead, key levels to watch include support at 24,200–24,300 and resistance at 25,200 for the Nifty, while Bank Nifty holds support between 54,000–53,500 and faces resistance at 57,000.
Traders are advised to remain cautious and closely monitor global cues and geopolitical developments, which may influence short-term market direction. While the broader trend remains cautiously optimistic, a breakout above the identified resistance levels will be essential to confirm the resumption of upward momentum.
Stocks to Buy this week
1. Aurobindo Pharma Ltd (AUROPHARMA): Buy at ₹1,042; Target Price at ₹1,100; Stop Loss at ₹1,010.
2. ICICI Bank Ltd (ICICIBANK): Buy at ₹1,435; Target Price at ₹1,470; Stop Loss at ₹1,410.
3. TVS Motor Company Ltd (TVSMOTOR): Buy at ₹2,968; Target Price at ₹3,030; Stop Loss at ₹2,920.
Disclaimer: This story is for educational purposes only. 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.