Despite weak global market sentiments influenced by the hawkish US Federal Reserve meeting outcomes, the Indian stock market continued its upward trajectory, marking a third consecutive session of gains. The Nifty 50 index rose by 75 points, closing at 23,398, while the BSE Sensex gained 204 points to end at 76,810. However, the Bank Nifty index dipped by 48 points, closing at 49,846. Notably, cash market volumes on the NSE increased by approximately 7%, reaching ₹1.29 lakh crore. Broad market indices outperformed the Nifty, even as the advance-decline ratio decreased to 1.52:1.
Trade Setup for Friday
Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, noted, “The short-term trend of Nifty remains range-bound with a positive bias. Historically, such sideways movements at higher tops have often led to a downward correction from the highs. Nifty continues to face significant resistance around 23,400 to 23,500 levels, with immediate support at 23,280 levels.”
Bank Nifty Outlook
Neeraj Sharma, AVP Technical and Derivatives Research at Asit C Mehta, commented on the Bank Nifty’s performance, stating, “The Bank Nifty index opened with a gap up but lost momentum, closing negatively at 49,847. Technically, the formation of a bearish Marubozu candlestick pattern following a tri-star doji indicates potential weakness. Immediate support for the index is near 49,000 levels, corresponding to the 21-DEMA.”
Global Cues
Siddhartha Khemka, Head of Retail Research at Motilal Oswal, highlighted, “The market is optimistic about the upcoming union budget, expected to be announced next month. Sentiments were buoyed by domestic inflation falling to a one-year low and better-than-expected domestic April IIP data. The market has been consolidating with a positive bias, supported by robust domestic macros, a healthy monsoon forecast, and strong earnings expectations.”
Buy or Sell Stock Ideas by Experts
Stock market experts Sumeet Bagadia, Executive Director at Choice Broking, and Ganesh Dongre, Senior Manager of Technical Research at Anand Rathi, provided insights into five buy or sell stock recommendations for today.
Sumeet Bagadia’s Stock Picks
- Usha Martin: Buy at ₹415, target ₹440, stop loss ₹399.
- Analysis: The daily chart shows an upward bounce from minor declines and sideways consolidation. The positive short-term trend is supported by increased trading volume, indicating a potential upside breakout.
- Grasim Industries: Buy at ₹2458, target ₹2580, stop loss ₹2390.
- Analysis: Trading at around ₹2395, Grasim Industries shows a healthy RSI of 58.26, suggesting stability and potential for further upward movement.
Ganesh Dongre’s Stock Picks
- IGL: Buy at ₹487, target ₹510, stop loss ₹475.
- Analysis: Significant support is observed at ₹475. The stock has reversed at ₹487, likely continuing its rally towards the resistance level of ₹510.
- HCL Technologies: Buy at ₹1445, target ₹1520, stop loss ₹1410.
- Analysis: A bullish reversal pattern suggests potential growth up to ₹1520, with support at ₹1410 indicating a strong buy opportunity.
- Mahindra & Mahindra (M&M): Buy at ₹2870, target ₹2930, stop loss ₹2830.
- Analysis: Significant support at ₹2830 and a reversal formation at ₹2870 suggest a continued rally towards ₹2930, making it a solid buy for the near term.
