The Indian equity markets opened the new week on a firm footing, with benchmark indices extending recent gains amid supportive global cues and upbeat domestic sentiment.
On Monday, the Nifty 50 index climbed 0.4% to close at 25,103.20, while the Bank Nifty advanced 0.46% to settle at 56,839.60. Broader market indices also performed well, with mid- and small-cap indices rallying up to 1.5%. Sectoral performance was broadly positive, with IT, Metals, Healthcare, and Oil & Gas stocks leading the charge.
Market Outlook: Key Levels to Watch
For Tuesday’s trading session, analysts see key technical levels acting as guideposts for market participants.
According to Shrikant Chouhan, Head of Equity Research at Kotak Securities, the 25,000 level on the Nifty is expected to serve as a crucial support. “As long as the index remains above this level, the uptrend is likely to continue,” he said. On the upside, the Nifty could potentially test the 25,350–25,400 range, while a breach below 25,000 could signal caution.
Similarly, for the Bank Nifty, holding above the 56,100–56,200 breakout zone is seen as critical, according to Om Mehra, Technical Research Analyst at SAMCO Securities. Sustained movement beyond 57,120 may open the path towards 57,700–57,900, Mehra added.
Global Cues Support Sentiment
The Indian market’s bullish undertone is being supported by both domestic and global factors.
Financial stocks have remained in focus, buoyed by the Reserve Bank of India’s recent rate and CRR cuts, which are expected to boost liquidity and support economic growth.
Meanwhile, upbeat U.S. jobs data and renewed optimism around U.S.-China trade negotiations have lifted global market sentiment. Foreign institutional investors (FIIs) have also returned as net buyers, further supporting the rally in large-cap Indian stocks, noted Vinod Nair, Head of Research at Geojit Financial Services.
Stocks to Watch Today
Top market experts have identified several stocks with strong trading setups for today:
Sumeet Bagadia’s Picks (Choice Broking)
- Sudarshan Chemical Industries Ltd (₹1291.9): Buy with a target of ₹1380; Stop-loss ₹1240. The stock has broken out from a multi-month consolidation and is showing strong bullish momentum.
- Skipper Ltd (₹524.8): Buy for a target of ₹560; Stop-loss ₹505. The stock has cleared key moving averages and is poised for a fresh rally.
Ganesh Dongre’s Picks (Anand Rathi)
- NHPC Ltd (₹90): Buy for a target of ₹97; Stop-loss ₹87. The stock is holding above a strong support level, suggesting further upside potential.
- Bharat Heavy Electricals Ltd (BHEL) (₹258): Buy for a target of ₹270; Stop-loss ₹250. The stock continues to exhibit a bullish pattern, with strong support near ₹250.
- ICICI Prudential Life Insurance Co. Ltd (₹638): Buy for a target of ₹675; Stop-loss ₹618. A bullish reversal pattern points to further gains.
Shiju Koothupalakkal’s Picks (Prabhudas Lilladher)
- Bank of Maharashtra (₹56.85): Buy for a target of ₹62; Stop-loss ₹55. A bullish formation supported by high volumes signals potential upside.
- Himatsingka Seide Ltd (₹154): Buy for a target of ₹164; Stop-loss ₹150. The stock has rebounded from key support and crossed its 50EMA, indicating trend reversal.
- Sarda Energy & Minerals Ltd (₹449.50): Buy for a target of ₹480; Stop-loss ₹440. A positive candle formation backed by good volume suggests further gains ahead.
With domestic liquidity conditions improving and positive global cues underpinning sentiment, Indian markets are well-positioned to extend their gains in the near term. However, traders are advised to closely monitor key technical levels for potential shifts in momentum.