Stock market today: Indian stock markets kicked off on a positive note on Thursday as investors reacted favorably to the U.S. Federal Reserve’s announcement to reduce interest rates by 25 basis points.
Both major indices experienced significant increases at the start, influenced by optimistic global signals and the Fed’s accommodating position.
The Nifty 50 index commenced trading at 25,441.05, gaining 110.80 points or 0.44 percent, while the BSE Sensex climbed 415.21 points or 0.50 percent to start at 83,108.92.
Analysts pointed out that the rate reduction was largely anticipated, and this action is perceived as encouraging for emerging markets, although it may take some time for foreign portfolio investments in India to bounce back.
Nifty 50 Outlook by Osho Krishan, Sr. Analyst, Technical & Derivatives, Angel One
Bulls remained firmly in command as broader markets continued to buzz, with sector-specific themes playing out strongly. The banking space, especially PSU banks, witnessed stellar traction, adding to overall positive sentiment.
For Nifty 50, it turned out to be a consolidation phase, as the market took a breather after the recent rally and awaited cues from the Fed policy. Importantly, the morning bullish gap was well defended, and the index ended near the session’s high, underscoring that bulls still hold the upper hand.
From a technical perspective, the double bottom breakout around 25150 remains the key anchor for the ongoing uptrend. We expect the momentum to continue, with Nifty 50 likely to test 25,500 and 25,670 in the near term. For support, the bullish gap around 25,250 will serve as an immediate cushioning, while the breakout zone of 25,200–25,100 should now act as a strong base. Traders are advised to maintain a positive bias and use any dips as buying opportunities.
Stocks To Buy on Thursday- Osho Krishan
On stocks to buy on Thursday, Osho Krishan of Angel One recommended two stocks – Rashtriya Chemicals and Fertilizers Ltd (RCF), and Multi Commodity Exchange of India Ltd (MCX).
RCF is demonstrating a strong position by trading above its cluster of EMAs and the 200-day SMA, which reflects a stable trend. Additionally, the positive crossover observed in the 14-day RSI indicates a potential for bullish momentum, while the SuperTrend indicator suggests a promising bullish reversal after a period of consolidation. Furthermore, from a risk-reward standpoint, the stock appears to offer an attractive opportunity for short-term investments.
Hence, we recommend to BUY RCF around ₹154, keeping a stop loss at ₹147 for potential upside Target of ₹172.
MCX has demonstrated significant consolidation near its 100-DEMA over the past couple of trading weeks, resulting in the stock entering a slumber zone. Nevertheless, recent trading sessions indicate a resurgence in momentum, driven by short covering and some build-up in longs, also bolstered by favorable technical indicators. The stock has surpassed all major EMAs on the daily charts. Furthermore, from a risk-reward perspective, the stock appears to be strategically positioned, presenting a positive outlook from a short-term investment standpoint.
Hence, we recommend to BUY MCX around ₹7,900, keeping a stop loss at ₹7,480 for potential upside Target of ₹8,500-8,600.
Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decision.
