Stock market today: Indian equity indices remained largely unchanged on Wednesday as financial stocks retraced from their near-record peaks, counterbalancing the positive sentiment surrounding a potential trade agreement with the U.S. Meanwhile, HDB Financial Services, the largest IPO of the year, made its market entry at a 13% premium.
On Tuesday, President Donald Trump indicated that the U.S. might finalize a trade arrangement with India, which could assist the South Asian nation in evading the 26% reciprocal tariff he announced on April 2, a decision he has temporarily suspended until July 9.
As of 12:59 IST, the Nifty 50 dipped by 0.26% to reach 25,474 points, while the BSE Sensex decreased by 0.28% to stand at 83,463.76.
Market Outlook by Jay Thakkar, Vice President & Head of Derivatives and Quant Research, ICICI Securities
Nifty 50
Nifty 50 seems to be consolidating again after having provided the breakout from the previous range of 25,300 to 24,800. This week the call writers have an upper hand as 25,600 and 26,000 strikes have huge built up whereas on the put side there is no major built up below 25,500, hence below 25,500 there can be retest of the previous breakout level of 25,300.
The FIIs have reduced their shorts which is a positive sign for the bulls, however, until 25,600 levels are not taken off the overall trend remains sideways to negative for 25,300 levels. The PCR has fallen below 1 and its now at 0.67 thus not oversold as well, hence a scope of further consolidation. Above 25,600, one can assume the consolidation to be over and start of another leg up in which Nifty 50 should first inch towards 25,800 and thereafter 26,000 levels.
Stocks To Buy in the near-term – Jay Thakkar
Jay Thakkar of ICICI Securities recommends Godrej Consumer Products Futures, Divis Laboratories Futures, and JSW Steel Futures.
Buy Godrej Consumer Products Futures in the range of ₹1,190 to ₹1,180 stop loss: ₹1,147; Targets: ₹1,240 and ₹1,275
Godrej Consumer Products had witnessed sharp bounce back on account of short covering but it again went into some correction, however, there was no major short built up this time, hence it is likely to reverse on the upside from the current levels. The stock has huge call base at 1200, so once those levels are taken off the momentum on the upside will increase.
Buy Divis Laboratories Futures in the range of ₹6,820 – ₹6,830; stop loss: ₹6,650; Targets: ₹7,050 and ₹7,200
Divis Laboratories Futures was in the consolidating zone of 6,750 to 6,500, however, it has managed to break above it and close as well. The stock has seen good long built-up cycle overall and so the short to medium term trend continues to be bullish. The stock does have higher call base at 6800, however, above that its directly 7,200, hence a good upside potential.
Buy JSW Steel Futures in the range of ₹1,030 – 1,040; stop loss: ₹990; Targets: ₹1,100 and ₹1,140
The stock has provided a nice breakout from the consolidating range of 1,050 to 950, hence an uptrend is likely from hereon. The stock witnessed the previous rally on account of short covering and now it has now witnessed long built-up cycle, hence the short term to medium term trend remains bullish.
Disclaimer: The Research Analyst or his relatives or I-Sec do not have actual/beneficial ownership of 1% or more securities of the subject company, at the end of 01/07/2025 or have no other financial interest and do not have any material conflict of interest.
The views and recommendations provided in this analysis are those of individual analysts or broking companies, not Mint. We strongly advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and individual circumstances may vary.
