Stock market today: Indian stock markets kicked off the new week with an upward trend in Monday’s initial session, drawing positive signals from a surge in other Asian markets.
Nonetheless, continued outflows from foreign portfolio investors (FPIs) and worries regarding potential additional tariffs pose significant challenges for domestic indices to maintain their upward trajectory.
At 12:15 IST, Sensex was trading at 81,643.74, an increase of 338.69 points or 0.42 percent, whereas the Nifty 50 was trading at 24,976 . 40, climbing 106.25 points or 0.42 percent.
Market analysts noted that while Asian counterparts are optimistic about the possibility of an interest rate reduction in the United States, Indian markets are grappling with the dual pressures of tariff increases and ongoing foreign outflows.
Market Views – Vinay Rajani, Senior Technical and Derivative Analyst, HDFC Securities
Nifty 50
On the last trading session of the week, theNifty 50 broke its six-session winning streak, slipping 213 points (0.85%) to close at24,870. Despite Friday’s correction, the index managed togain 0.97% for the week.
From a technical perspective, Nifty 50 ended the week with a“shooting star” candlestick pattern, typically a sign of potential weakness. However, such patterns have greater significance when they appear after a strong uptrend at the top of the rally, which is not quite the case here—hence the bearish implications are limited. The index faced resistance near25,160, aligning with the61.8% Golden Ratio retracementof the prior downswing from 25,669 to 24,337. A decisive move above this level would invalidate the bearish setup and potentially open the way for a retest of25,669.
Over the past two sessions, Nifty 50 has corrected294 pointsfrom the recent swing high of 25,153, bringing it close to its20- and 50-DEMA supports placed at 24,832 and 24,841, respectively. Importantly, the index is also hovering near theunfilled gap zone of 24,673–24,852, which could act as a cushion.
Meanwhile,Bank Nifty has been underperformingthe benchmark and remains relatively weak on charts. A firm base, however, is visible around54,900, which may help limit downside pressure. On the upside, resistance is expected near56,000.
In the broader market,Smallcap100 and Microcap250 indiceshave displayed relative strength versus Nifty 50 during the week. Their technical structure suggests a potential resumption of the upward trend in the near term.
On the commodities front,U.S. Silver has broken out of a symmetrical triangle formationon daily
charts, signaling continuation of the uptrend. The ratio charts further suggest thatsilver could outperform both gold and other hard commoditiesahead.
Globally, bothdeveloped and emerging market indicesremain in a steady uptrend, likely providing support to Indian equities in the short term.
Nifty 50 Strategy: The recent fall in the Nifty 50 appears to be a correction within its larger uptrend. Multiple support levels are clustered between 24,673 and 24,850, from which the Nifty 50 could bounce back and resume its upward movement. For the bullish momentum to return, the Nifty 50 needs to move above 25,153. If this level is surpassed, the next targets would be 25,355 and 25,500. Long positions on the Nifty 50 should be held with a stop-loss at 24,673 on a closing basis.
Stock Picks
Buy Kirloskar Oil Engine ( ₹961) | Target ₹1,103| Stop-loss ₹886
Stock price is forming inverted head and shoulder pattern on the daily chart. Price rise was accompanied by jump in volumes. Stock price has been finding support on its 50 DEMA. Daily RSI has reached above 50, indicating sustainable up trend. Daily MACD is now placed above signal and equilibrium line.
Buy Indus Tower ( ₹353.90) | Target ₹415| Stop-loss ₹327.50
Stock price has found support on its 100 week EMA and bounced back. Stock price has been sustaining above 10 DEMA, which confirms bullish reversal. Weekly Stochastics indicator has given positive crossover in oversold zone. Daily MACD and RSI have turned bullish. Volumes are gradually improving in stock.
Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decision.
