Indian Stock Market Ends Higher Despite Gold Prices Snapping Rally
Despite gold prices snapping its five-week rally, the Indian stock market ended higher last week. The Nifty 50 and the BSE Sensex logged gains of nearly 0.60 percent and 0.75 percent respectively, while the Bank Nifty index rose by almost 0.95 percent. The small-cap index surged more than 2.75 percent, and the mid-cap index shot up over 3.25 percent in the same period, outperforming the frontline indices.
Stock market expert Sumeet Bagadia, Executive Director at Choice Broking, believes that the Nifty 50 index is facing a hurdle at the ₹2,600 level. Despite this, Bagadia recommends maintaining a buy-on-dips strategy as long as the index stays above the support zone of 22,100 to 22,150. For the upcoming week, Bagadia recommends three stocks to buy or sell: ITC, Cipla, and UltraTech Cement.
ITC is recommended for purchase at ₹440 with a target of ₹475 and a stop loss at ₹422. The stock has a strong technical setup with support levels between ₹422 to ₹428 and a minor resistance at ₹448. The bullish sentiment is supported by consistent higher highs and higher lows, as well as a rising RSI indicator.
Cipla is suggested for purchase at ₹1409 with a target of ₹1520 and a stop loss at ₹1340. The stock has formed a strong bullish candle on the weekly chart, indicating strength in its price action. The RSI is around 48.09, suggesting a sustainable uptrend.
UltraTech Cement is advised for purchase at ₹9700 with a target of ₹10530 and a stop loss at ₹9255. The stock has rebounded from a strong support zone at ₹9255 and is approaching a resistance barrier at 10000 levels. The RSI is at 51.02, reflecting a positive trajectory.
Investors are reminded to consult with certified experts before making any investment decisions.
