The rally was broad, with Nifty Metal, PSU Bank and Financial Services leading sectoral gains, each rising more than 1.5%. Among the top movers were JSW Steel, Bajaj Finance and Adani Ports. Market breadth was also strong, with the advance-decline ratio on the BSE firmly favouring the bulls, signalling participation across the wider market.
Two stock recommendations by MarketSmith India for 27 November
Buy: HEG Ltd (current price: ₹547)
- Why it’s recommended: Strong position in graphite electrode industry, beneficiary of global steel production growth, healthy balance sheet with low debt, export presence and diversified client base, and operational efficiencies and capacity expansion plans
- Key metrics: P/E: 55.23, 52-week high: ₹619.50, volume: ₹204.39 crore
- Technical analysis: Reclaimed its 21-DMA on above average volume
- Risk factors: High dependency on cyclical steel industry, volatility in graphite electrode and needle coke prices, global competition and pricing pressure, and exposure to currency fluctuations, environmental regulations impacting operations, and demand slowdown risk in key export markets
- Buy at: ₹544–555
- Target price: ₹620 in two to three months
- Stop loss: ₹515
Buy: TVS Motor Co. Ltd (current price: ₹3,538)
- Why it’s recommended: Strong domestic presence in two-wheelers/three-wheelers and EV transition tailwinds
- Key metrics: 315.72; 52-week high: ₹3,720; volume: ₹224 crore
- Technical analysis: 50-DMA retake
- Risk factors: Commodity price volatility and dependence on rural and semi-urban demand
- Buy at: ₹3,500–3,550
- Target price: ₹3,900 in two to three months
- Stop loss: ₹ 3,370
How the Nifty 50 performed on 27 November
Today, the Indian market ended on a strong footing, with benchmark indices extending their upward momentum into the close. Nifty 50 surged 1.24% to settle at 26,205.30, gaining 320 points from the previous close, supported by broad-based buying and stable global cues.
Market breadth was decisively positive, as the advance-decline ratio stood at 2,291 advances to 807 declines, reflecting robust participation across segments. On the sectoral front, gains were led by Consumer Durables, IT, Financial Services, and Oil & Gas, all rising between 1.4% and 1.8%, while FMCG and Pharma also posted steady advances. The strength in Private Banks and Autos further reinforced the rally.
The index posted a solid breakout candle after rebounding sharply from its rising trendline, which continues to act as a strong dynamic guide within the broader uptrend. The sequence of higher-highs and higher-lows remains intact, and the recent pullback was shallow, indicating strong buy-on-dips interest. Momentum readings also support positive bias: the RSI has turned upward once again from the mid-50s zone, stabilizing above its signal line and reflecting improving strength without entering overbought territory. Meanwhile, the MACD has resumed its positive slope, with the histogram showing renewed bullish momentum as the indicator maintains its position in positive territory.
According to O’Neil’s methodology of market direction, the market status has shifted to a “Confirmed Uptrend” as it decisively surpassed its previous rally high of 25,670 to register a new 52-week. The RSI has eased slightly to around 62, indicating cooling momentum but still holding in bullish territory, reflecting a healthy pullback within an uptrend. Meanwhile, the MACD remains in positive alignment, though the histogram shows signs of narrowing, hinting at a potential slowdown in upward momentum.
The index ended higher after rebounding from its 21-DMA and closed firmly above 26,200, reflecting renewed buying interest. A sustained close above 26,250 could trigger a fresh rally toward 26,300–26,500 in the near term. On the downside, immediate support lies at 25,850, while a stronger base near 25,700 remains crucial for maintaining the broader uptrend.
How did Nifty Bank perform?
Bank Nifty opened on a subdued note but recovered after hitting its intraday low, attracting buying interest at lower levels and ending its three-day losing streak. On the daily chart, the index formed a bullish candle displaying a higher-high and higher-low structure, reflecting a positive bias. It opened at 58,783.05, rose to an intraday high of 59,554.95, and touched a low of 58,783.05 before closing at 59,528.05. With this move, the index has recorded a fresh all-time high and entered uncharted territory, indicating continued strength in the broader trend.
The RSI continues to strengthen and is now positioned at 70, reflecting firm momentum. The MACD is nearing a bullish crossover and remains above the central line, reinforcing positive sentiment. In line with O’Neil methodology, Bank Nifty remains in a Confirmed Uptrend, supported by a robust technical structure and persistent buying on dips. Overall, the setup remains strongly constructive, with the potential for further upside as long as the index holds above key support levels.
With Nifty breaking its three-day losing streak and entering uncharted territory, market sentiment has turned decisively positive. Sustained buying interest could drive the index toward 60,000–60,500 in the near term. Immediate support lies at 58,400–58,000, and any minor pullback toward this region is likely to attract renewed buying interest. Overall, the buy-on-dips strategy remains intact, supported by strong momentum and a constructive broader trend.
Trade name: William O’Neil India Pvt. Ltd.
Sebi Registration No.: INH000015543
Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before making any investment decisions.
