Indian Stock Market Remains Range-Bound Despite Global Market Sentiment
Despite strong global market sentiment on a possible US Fed rate cut buzz, the Indian stock market remained range-bound last week. The Nifty 50 index added 19 points and closed at 22,493 level, the BSE Sensex went up 33 points and ended at 74,119 mark, while the Bank Nifty index finished 129 points lower at 47,865 level. However, the broad market witnessed buying interest as the small-cap index went up 0.70 percent and the mid-cap index shot up 0.39 percent.
Sumeet Bagadia, Executive Director at Choice Broking, believes that the Nifty 50 index touched a new peak of 22,525 despite high volatility on Dalal Street. He mentioned that strong buying in the Tata group stocks worked as an aide for the 50-stock climbing to a new peak on the last session of the truncated week. Bagadia recommended three buy or sell stocks for Monday — Chambal Fertilisers, BEL, and Hindustan Unilever Ltd (HUL).
Chambal Fertilisers was recommended as a buy at ₹372.75 with a target of ₹400 and a stop loss at ₹350. The stock’s technical strength, bounce from crucial support levels, and breach of initial resistance at ₹360, aligned with the 20-day and 50-day Exponential Moving Averages (EMA), signal a positive momentum. The stock is trading above all significant moving averages, affirming its robust technical position.
BEL was suggested as a buy at ₹215.40 with a target of ₹234 and a stop loss at ₹205. The stock recently broke out of its range by forming a new higher high and higher low, indicating a strong uptrend. It is trading above key Exponential Moving Averages (EMAs) and the Relative Strength Index (RSI) is showing an upward trajectory.
HUL was advised as a buy at ₹2419.55 with a target of ₹2575 and a stop loss at ₹2350. The stock’s rebound from crucial support at ₹2350 and surpassing the initial resistance at 2410, aligned with its 20-day Exponential Moving Average (EMA), signals positive momentum. The Relative Strength Index (RSI) is indicative of underlying strength.
Investors and traders are advised to closely monitor these stocks for potential opportunities, considering the identified support and resistance levels, as well as momentum indicators, to make informed decisions in the dynamic market scenario.
