Indian Stock Market Slips Into Sharp Weakness, Experts Recommend Stocks to Buy on Monday
After a range-bound action on Wednesday, the Indian stock market took a sharp downturn on Friday, with the Nifty 50 index plummeting 234 points and closing at 22,519, the BSE Sensex crashing 793 points and finishing at 74,244, and the Bank Nifty index correcting 422 points to end at 48,564. In the broader market, the small-cap index dipped 0.60 percent, while the mid-cap index went down 0.49 percent.
Looking ahead to next week, Sumeet Bagadia, Executive Director at Choice Broking, highlighted the crucial support level of 22,500 for the Nifty 50 index. Bagadia warned that breaching this support could lead to further weakness in market sentiment. On the upside, the index faces resistance at 22,750 to 22,800, with a potential 500-point upside if this level is breached.
For investors looking for opportunities in the market, Bagadia recommended three stocks to buy on Monday: Bajaj Auto, Nestle India, and Divi’s Laboratories.
Starting with Bajaj Auto, Bagadia suggested buying at ₹9074 with a target of ₹9900 and a stop loss at ₹8400. The stock is currently consolidating above the ₹9000 level and showing signs of upward momentum, supported by strong trading volume and technical indicators.
Moving on to Nestle India, Bagadia recommended buying at ₹2536 with a target of ₹2650 and a stop loss at ₹2465. The stock has shown resilience at support levels and could see a significant upward movement upon breaking through resistance.
Lastly, for Divi’s Laboratories, Bagadia advised buying at ₹3780 with a target of ₹4000 and a stop loss at ₹3700. The stock has rebounded from support levels and is trading above key moving averages, indicating a bullish trend.
Overall, these stocks present attractive opportunities for investors, but it is important to implement risk management strategies. Investors are advised to consult with certified experts before making any investment decisions.
Disclaimer: The views and recommendations mentioned are those of individual analysts or broking companies and not of Mint. Investors are encouraged to seek advice from experts before making investment decisions.
