Buy or sell stocks: After a weak opening, the Indian stock market witnessed strong buying at the lower levels, and all three key benchmark indices finished with decent gains. The Nifty 50 index regained the psychological 25,000 and finished 122 points higher at 25,090. The BSE Sensex registered a 442-point gain and closed at 82,200, whereas the Bank Nifty index ended 669 points northward at 56,952. Eternal, ICICI Bank and HDFC Bank emerged as the top performers in the Nifty. Conversely, Reliance, Wipro, and IndusInd Bank concluded the session as the major losers. Trading volumes on the NSE cash market were slightly lower by 3% compared to the previous session.
Among the sectoral indices, Nifty Financial Services, Nifty Bank, and Metal emerged as major gainers, playing a crucial role in the Nifty’s rebound. On the other hand, OIL/GAS, PSU Banks, and FMCG faced the steepest declines, contributing significantly to the overall market fall. The Nifty Midcap 100 Index gained 0.62%, while the Nifty Smallcap 100 Index underperformed the Benchmark, ending flat. Market breadth remained negative, with declining stocks outnumbering advancing ones on the BSE, as indicated by an advance-decline ratio of 0.90.
Stock market today
Vaishali Parekh, Vice President of Technical Research at Prabhudas Lilladher, believes the Indian stock market bias has improved. The Prabhudas Lillladher expert said that the probability of a trend reversal on Dalal Street has heightened as the Nifty 50 has once again bounced back from its 50-DEMA support of 24,900. However, Parekh maintained that the key benchmark index is facing a hurdle at 25,250.
Speaking on the outlook of the Nifty 50 today, Vaishali Parekh said, “The Nifty 50 index has indicated a decent pullback from the significant support zone of 24,900 level, which was where the important 50-DEMA zone and the base of the channel pattern were positioned, indicating a trend reversal except for a further upward move in the coming sessions. The index would have the near-term resistance at the 25,250 zone, which needs to be breached decisively to improve the bias further and retest the 25,650 level to strengthen the trend again.”
The Bank Nifty index recovered strongly from the base of the 56,200 zone with a positive bullish candle formation on the daily chart on the back of good results from HDFC Bank and ICICI Bank, which helped in pulling the index and is expected to rise further with a bias improving. On the upside, the index would need to breach above the resistance zone of 57,600 level and, thereafter, expect fresh higher targets of 58,500 and 60,000 levels in the coming days, as mentioned earlier,” said Parekh.
Parekh said that the immediate support for the Nifty 50 index is at 24,900, while the resistance is at 25,300. The Bank Nifty would have a daily range of 56,500 to 57,600.
Vaishali Parekh’s stock recommendations today
Regarding stocks to buy today, Vaishali Parekh recommended these three buy-or-sell stocks: SJVN, Lloyds Enterprises, and Siemens.
1] SJVN: Buy at ₹99, Target ₹110, Stop Loss ₹95;
2] Lloyds Enterprises: Buy at ₹82, Target ₹92, Stop Loss ₹76; and
3] Siemens: Buy at ₹3155, Target ₹3350, Stop Loss ₹3100.
Disclaimer: The views and recommendations made above are those of individual analysts or brokerage companies and not of Mint. We advise investors to check with certified experts before making any investment decisions.
