Stock market today: India’s stock indices started slightly lower on Friday, with investors split over the Reserve Bank of India’s policy decision, as strong economic expansion and a declining rupee complicate the argument for a rate reduction. The RBI’s announcement is expected at 10:00 IST.
The Nifty 50 dropped 0.13% to 25,999.8, while the Sensex decreased 0.16% to 85,125.48 as of 9:15 IST.
India’s economy recorded its fastest growth in 18 months during the September quarter, driven by strong consumer spending, while retail inflation fell to a historic low in October.
Anticipations of a rate cut diminished following the better-than-expected growth figures and the recent depreciation of the rupee.
Share Market Tips and Nifty 50 Outlook by Rajesh Palviya, SVP – Technical and Derivatives Research, Axis Securities
Nifty 50
For the past three weeks, the benchmark index has been consolidating within 26,300-25,800 levels, indicating a short-term sideways trend. This consolidation is strongly supported by the 20-day SMA (25,967), which remains a crucial support zone. The index is well placed above its 20, 50, 100 and 200-day SMA’s which reconfirms positive bias. From current levels, we expect this momentum to extend towards 26,300-26,500 levels. The crucial support is placed around 25,800 levels. The daily strength indicator RSI is in negative territory, which indicates a lack of strength.
L&T Technology Services Ltd Cmp: ₹4,677
On the daily and weekly chart, L&T Technology share price has experienced a short-term trend reversal, forming a higher tops and bottoms formation. With the current close, it has also decisively surpassed multiple resistance zones of 4,500-4,600 levels on a closing basis, along with huge volumes, which signifies increased participation. The daily and weekly “band Bollinger” buy signal shows increased momentum. The daily, weekly and monthly strength indicator, Relative Strength Index (RSI), is in favourable territory, indicating rising strength across all time frames.
“Investors should consider buying, holding, and accumulating this stock. Its expected upside is 4,900-5,100, and its downside support zone is the 4,600-4,500 levels,” said Palviya.
Torrent Pharmaceuticals Ltd Cmp: ₹3,808
Torrent Pharma share price is in a strong uptrend across all time frames, which signals bullish sentiments. The stock is well placed above its 20, 50, 100 and 200-day SMA, and these averages are also inching up along with rising averages, which reconfirms bullish sentiments. On the daily chart, the stock has confirmed a down-sloping trendline breakout at 3,790 levels along with huge volumes. The daily, weekly and monthly strength indicator, Relative Strength Index (RSI), is in favourable territory, indicating rising strength across all time frames.
“Investors should consider buying, holding, and accumulating this stock. Its expected upside is 3,950-4,010, and its downside support zone is the 3,770-3,670 levels,” said Rajesh Palviya.
JK Tyre & Industries Ltd Cmp: ₹473
The daily price structure has confirmed a higher tops and bottoms formation, indicating positive bias. JK Tyre share price is well placed above its 20, 50, 100 and 200-day SMA, and these averages are also inching up along with rising averages, which reconfirms bullish sentiments. The daily, weekly and monthly strength indicator, Relative Strength Index (RSI), is in favourable territory, indicating rising strength across all time frames.
“Investors should consider buying, holding, and accumulating this stock. Its expected upside is 500-515, and its downside support zone is the 460-450 levels,” said Palviya.
Disclaimer: 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.
