Nifty 50 declined 103.40 points, or 0.40%, to settle at 25,910.05, while Sensex dropped 277.93 points, or 0.33%, to 84,673.02.
Weakness in the broader market was more pronounced, with the advance-decline ratio favouring decliners (approximately 1:2), suggesting cautious sentiment extended beyond the frontline indices.
On the sectoral front, Nifty IT, metal, and realty were the top laggards, mirroring the overnight slide in U.S. technology stocks and a stronger US dollar impacting base metal prices. Gains in select banking and PSU stocks prevented a sharper fall.
Two stock recommendations by MarketSmith India:
Buy: Aster DM Healthcare (current price: ₹680)
- Why it’s recommended: Strong presence in GCC and India with diversified revenue base, consistent growth in hospital and pharmacy segments, expanding margins through operational efficiency, robust brand recognition in key healthcare markets, healthy balance sheet and improving return ratios, strategic capacity expansion and asset-light growth model, rising healthcare demand in India and the Middle East, and experienced management with execution track record
- Key metrics: P/E: 85.26, 52-week high: ₹732.20, volume: ₹237.55 crore
- Technical analysis: Bounced from its 200-DMA on above average volume
- Risk factors: High dependency on GCC revenues and currency exposure, regulatory risks in healthcare pricing and insurance policies, rising manpower and compliance costs, competitive pressure from other private hospital chains, execution risk in ongoing expansion projects, margin sensitivity to payer mix and occupancy rates, potential geopolitical instability in key GCC markets, and delays in Indian operations ramp-up impacting growth trajectory
- Buy: ₹675–690
- Target price: ₹790 in two to three months
- Stop loss: ₹630
Buy: Ather Energy Limited (current price: ₹668)
- Why it’s recommended: Strong brand and product leadership in India’s electric two-wheeler, and beneficiary of the long-term EV transition trend in India
- Key metrics: P/E: NA; 52-week high: ₹790; volume: ₹407.58 crore
- Technical analysis: trendline breakout
- Risk factors: Persistent operating losses and negative cash flows, with profitability yet to be fully achieved despite improved unit economics.
- Buy at: ₹660–670
- Target price: ₹780 in two to three months
- Stop loss: ₹ 615
Nifty 50 recap
Indian equities extended their consolidation on November 18, with benchmark indices ending lower amid broad-based selling and weak market breadth. Nifty 50 slipped 103 points or 0.4% to close at 25,910, tracking profit booking in IT, FMCG, and Metal stocks.
Sensex also lost around 370 points, mirroring global caution ahead of key U.S. economic data. On the sectoral front, Nifty IT (-1.1%), FMCG (-0.6%), and Metal (-1.1%) were the top laggards, while Realty (-1.9%) and Healthcare (-0.7%) also weighed on sentiment. Auto and Financial Services declined modestly, while Consumer Durables and PSU Banks showed relative resilience. The overall market breadth was distinctly negative, with 969 stocks advancing against 2,168 declines on the NSE, highlighting risk aversion among participants.
The index formed a bearish candle on the daily chart, indicating hesitation around the upper trendline of the rising channel it has been tracking since mid-October. The relative strength index (RSI) eased slightly to around 60 from overbought territory, signaling cooling momentum but still staying within the bullish zone. Meanwhile, the Moving Average Convergence Divergence (MACD) remains in positive territory, though the histogram is showing signs of narrowing, reflecting waning bullish momentum. The short-term moving averages (20- and 50-day EMAs) continue to maintain a positive alignment, underscoring the medium-term uptrend. However, the recent dip in volume alongside a rejection near the upper boundary suggests a potential consolidation phase before the next directional move.
According to O’Neil’s methodology of market direction, the market status has shifted to a “Confirmed Uptrend” as it decisively surpassed its previous rally high of 25,670 to register a new 52-week.
The index ended on a positive note, closing above the 26,000 psychological mark after testing its 21-DMA and 25,700, before rebounding sharply, signaling renewed buying interest at lower levels. A sustained move above 26,100 could pave the way for an advance toward 26,200–26,300 in the near term. On the downside, immediate support is seen at 25,700, while a stronger base around 25,300 continues to underpin the broader uptrend and maintain overall market stability.
How Nifty Bank performed
Bank Nifty opened on a positive note but soon faced profit booking after touching its intraday high, slipping into negative territory for most of the session. The index eventually closed lower, ending its seven-day winning streak and forming a bearish candle on the daily chart. During the session, Bank Nifty opened at 58,990.50, hit a high of 59,103.65, and touched a low of 58,798.90 before finally settling at 58,899.25. The price action indicates short-term weakness as traders booked profits following a strong rally in the previous sessions. A decisive move below current levels may trigger further downside momentum in the near term.
The momentum indicator RSI has traded sideways and is currently positioned at 70. Meanwhile, as it approaches overbought territory, it continues to indicate underlying market strength. Meanwhile, the MACD formed a positive crossover, and its position above the zero line reinforces the presence of sustained upward momentum. In line with the O’Neil methodology, Bank Nifty remains in a Confirmed Uptrend, supported by a robust technical structure and consistent buying on dips. Overall, the outlook remains bullish, with the potential to achieve new highs if the prevailing momentum sustains above current levels.
The index continues to trade comfortably above all major moving averages, indicating strong underlying momentum and sustained bullish sentiment. The overall outlook remains constructive as long as it holds above the 21-DMA, currently near 58,120. A decisive breakout above this level could pave the way for an extended rally toward 59,000–59,500, with a potential move toward 60,000 in the near term. On the downside, immediate support is placed around 57,600–57,000, and a breach below this range may trigger a short-term corrective phase. Overall, the trend remains positive, supporting a buy-on-dips strategy amid ongoing market strength.
MarketSmith India is a stock research platform and advisory service focused on the Indian stock market. It offers tools and resources to help investors make informed decisions based on the CAN SLIM methodology, founded by legendary investor William J. O’Neil. You can access a 10-day free trial by registering on its website.
Trade name: William O’Neil India Pvt. Ltd.
Sebi Registration No.: INH000015543
Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before making any investment decisions.
