Buy or sell stocks: The key benchmark indices of the Indian stock market ended marginally lower on Monday, halting a two-session rally, as subdued global sentiment and profit booking at elevated valuations weighed on investor confidence. Market participants remained on edge amid resurfacing US-China trade tensions, despite tentative signs of stability in overseas markets. Risk sentiment took a hit after US President Donald Trump imposed a 100% tariff on Chinese imports effective November 1. However, a partial recovery in global cues was seen after Trump adopted a more conciliatory tone, indicating openness to negotiations. At the closing bell, the BSE Sensex shed 173.8 points, or 0.21%, to settle at 82,327, while the NSE Nifty declined 58 points, or 0.23%, to end at 25,227.4.
The broader market closed on a mixed note, with the Nifty Midcap 100 inching up 0.11%, whereas the Nifty Small Cap 100 edged lower by 0.17%. On the sectoral front, selling pressure was evident in defensive pockets, with the Nifty FMCG and Nifty IT indices slipping 0.9% and 0.8%, respectively. Weakness was also seen in consumer durables and energy stocks. The Nifty Bank index ended essentially unchanged, while the Nifty PSU Bank index outperformed, closing with gains of 0.24%, supported by select buying in state-run lenders.
Stock market today
Vaishali Parekh, Vice President of Technical Research at Prabhudas Lilladher, believes the Indian stock market sentiment is positive as the Nifty 50 index has closed above 25,200 despite a gap-down opening around 25,150. However, the 50-stock index is facing a hurdle at 25,300. On breaking above 25,300 on a closing basis, the key benchmark index may soon touch 25,500.
Speaking on the outlook of the Nifty 50 index, Vaishali Parekh said, “The Nifty 50 index, having opened on the lower side near the 25,150 zone, remained sluggish for most of the trading session to witness some positive spurt in the final hours to close above the 25,200 zone with bias maintained with an optimistic approach for the coming days. As mentioned earlier, the index would need a decisive close above the important hurdle at the 25,300 zone to establish conviction and, at the same time, have the important support at the 25,000 zone, which needs to be sustained to maintain the overall trend intact.”
On the outlook of the Bank Nifty index, Parekh said, “The Bank Nifty index recovered to some extent after the weak opening and remained flat throughout the session with positive indications visible from most of the frontline banking stocks, which likely can pull the index to fresh upside movement in the coming days. As said earlier, with the 55,600 level positioned as the near-term support for the index, we can anticipate further upward move, having the near-term target of 57,700 zone in the coming days with sentiment easing out and maintaining an optimistic approach with the festive season nearing.”
Parekh stated that immediate support for the Nifty 50 index is located at 25,100, while the resistance is positioned at 25,400. The Bank Nifty is expected to have a daily range of 56,200-57,300.
Vaishali Parekh’s stock recommendations today
Regarding stocks to buy today, Vaishali Parekh recommended three buy-or-sell stocks: Himadri Speciality Chemical, Aster DM Healthcare, and Cholamandalam Investment and Finance.
1] Himadri Speciality Chemical: Buy at ₹467.95, Target ₹490, Stop Loss ₹458;
2] Aster DM Healthcare: Buy at ₹700.75, Target ₹735, Stop Loss ₹683; and
3] Cholamandalam Investment and Finance: Buy at ₹1647, Target ₹1720, Stop Loss ₹1615.
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
