The Indian stock market saw a slight uptick on Friday, May 31, breaking a streak of losses from the previous five sessions. The Sensex and Nifty 50 closed with gains, with the Sensex rising by 0.10 percent and the Nifty 50 ending 0.19 percent higher. This positive momentum comes after a period of uncertainty and challenges in the market, including concerns surrounding the upcoming Lok Sabha election of 2024.
Factors such as capital outflows by foreign institutional investors, global market fluctuations, expectations of rate reductions, and geopolitical tensions have all contributed to the subdued market sentiment. However, on Friday, there was a resurgence of buying interest in the domestic market, leading to positive closes for benchmark indices as well as mid and small-cap indices.
Looking ahead, experts predict a sideways momentum for the Nifty as the market awaits the election outcome. Ganesh Dongre, Senior Manager at Anand Rathi, suggests that the Nifty may see range-bound trading in the upcoming sessions, with support at 22300-22400 levels and resistance at 23100-23200 levels. For the Bank Nifty, support is expected at 48000 levels and resistance at 49500 levels.
Anand Rathi’s stock picks for the day include Bharat Electronics Limited, Sundaram Fasteners, and REC Ltd. Dongre recommends buying these stocks at specified price levels with target prices and stop losses in place. This expert analysis and recommendations aim to guide investors in making informed decisions in the current market scenario.
Overall, the Indian stock market showed signs of positivity on Friday, with investors showing renewed interest in the market. As the election outcome approaches, market participants will closely monitor developments and adjust their strategies accordingly.
