Buy or sell stocks: On October 1st, key benchmark indices of the Indian stock market ended on a strong note, with the Nifty 50 index closing near 24,850 as markets digested the RBI’s policy decision to keep the repo rate unchanged at 5.5%. Opening on a positive note, the index maintained its upward momentum through most of the session, with intraday dips being bought into, ultimately closing with healthy gains. Sentiment was further buoyed by the central bank’s proposals on capital market lending and banking operations. The RBI outlined measures including an expansion of banks’ capital market lending scope, greater operational flexibility for borrowers, and the removal of lending caps against listed securities.
At the close, the Sensex gained 715.69 points, or 0.89%, to settle at 80,983.31, while the Nifty rose 225.20 points, or 0.92%, to 24,836.30. Sectorally, the market breadth was positive, with private banks, real estate, pharmaceuticals, IT, and media indices advancing 1–4%, while PSU banks ended lower. In the broader market, the Midcap index climbed 0.9% and the Small-cap index added 1%.
Stock market today
Vaishali Parekh, Vice President of Technical Research at Prabhudas Lilladher, believes the Indian stock market bias has improved as the Nifty 50 index has sustained above the crucial support placed at 24,500. After falling for the nine successive sessions, the key benchmark index witnessed some value picking, which signals hope for a trend reversal. However, the index is facing a hurdle at the 24,900 range. A bullish or bearish trend can be assumed on the breakage of either side of the range.
Speaking on the outlook of the Nifty 50 index, Vaishali Parekh said, “The Nifty 50 index, after a long nine consecutive sessions of losing streak, has finally indicated a strong pullback with a bullish candle formation on the daily chart to improve the bias and sentiment, which was desperately needed and important. The index has sustained above the important 24,500 zone, and with the RSI correcting well from the overbought zone, has indicated a trend reversal to anticipate for further rise and would need to carry on with the positive move with a near-term hurdle of the 25,250 level positioned as the resistance zone.”
On the outlook of the Bank Nifty index, Parekh said, “The Bank Nifty index, has indicated a strong bullish candle pattern on the daily chart moving past the important 50-EMA at 55,100 zone to regain strength after the long weak sessions witnessed and further with bias and sentiment significantly improved, can anticipate for fresh upside move once the neckline of the Inverted Head and Shoulder positioned near 55,500 zone is decisively breached, as mentioned earlier. The important support would be maintained near the 54,400-54,500 zone, which needs to be sustained.”
Parekh stated that immediate support for the Nifty 50 index is located at 24,700, while the resistance is positioned at 25,100. The Bank Nifty is expected to have a daily range of 54,900-56,000.
Vaishali Parekh’s stock recommendations today
Regarding stocks to buy today, Vaishali Parekh recommended three buy-or-sell stocks: Onmobile Global, Welspun Living, and Adani Energy Solutions.
1] Onmobile Global: Buy at ₹68, Target ₹73, Stop Loss ₹66;
2] Welspun Living: Buy at ₹117, Target ₹130, Stop Loss ₹109; and
3] Adani Energy Solutions: Buy at ₹899, Target ₹940, Stop Loss ₹870.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
