In a dynamic trading day, the Nifty-50 Index concluded Tuesday’s session with a modest increase of 0.17%, reaching 22,497.90. Conversely, the Bank Nifty faced a downturn, closing at 47,853.95, a decline of 0.75%. The IT sector struggled significantly, while sectors like Realty and Oil & Gas performed well. Overall, the broader market displayed a mixed performance, with mid-cap stocks gaining traction, while small-cap indices finished lower.
Market Outlook for Wednesday
The recovery observed today suggests a positive trend. If the Nifty surpasses 22,700, it may signal a bullish reversal, potentially driving it towards a target of 23,000. Support has shifted to around 22,300, according to Nandish Shah, Deputy Vice President at HDFC Securities. For the Bank Nifty, reclaiming 48,500 on a closing basis is essential; otherwise, it may continue to exhibit short-term weakness. Key support levels are now set at 47,450 and 47,200, as indicated by Om Mehra, Technical Analyst at SAMCO Securities.
Global Market Influences
Despite substantial sell-offs in the U.S. and various Asian markets due to fears of an economic slowdown linked to a prolonged trade war, the domestic market shows signs of a gradual recovery. Lower volatility has been attributed to moderated valuations after recent corrections, coupled with favorable elements such as declining crude oil prices and a softening Dollar Index. Expectations of improved domestic earnings are also contributing to market stability amid ongoing trade uncertainties. Attention is now focused on upcoming retail inflation data, which could hint at potential interest rate reductions, as noted by Vinod Nair, Head of Research at Geojit Financial Services.
Stock Recommendations for Today
Sumeet Bagadia, Executive Director at Choice Broking, has highlighted two stock recommendations for today’s trading. Ganesh Dongre, Senior Manager of Technical Research at Anand Rathi, advises on three stocks, while Shiju Koothupalakkal, Senior Manager — Technical Research at Prabhudas Lilladher, has also provided three stock picks.
Highlighted Stocks:
- PI Industries Ltd.
- Indus Towers Ltd.
- Zomato Ltd.
- Axis Bank Ltd.
- ICICI Bank Ltd.
- Taj Gvk Hotels & Resorts Ltd.
- GlaxoSmithKline Pharmaceuticals Ltd.
- GMR Airports Ltd.
Sumeet Bagadia’s Stock Picks
-
PI Industries Ltd.
- Buy at: ₹3353.90
- Stoploss: ₹3236
- Target: ₹3589
- The stock is showing signs of a rebound after a prolonged decline, forming a potential bottom reversal pattern. A successful move above the 50-day EMA could solidify a bullish outlook.
- Indus Towers Ltd.
- Buy at: ₹341.40
- Stoploss: ₹329
- Target: ₹365
- Indus Towers is displaying bullish momentum, indicating a potential breakout from a descending triangle pattern, supported by increasing trading volumes.
Ganesh Dongre’s Recommended Stocks
-
Zomato Ltd.
- Buy at: ₹208
- Stoploss: ₹200
- Target: ₹222
- Recent patterns indicate a bullish reversal, making it an attractive buying opportunity at current levels.
-
Axis Bank Ltd.
- Buy at: ₹1025
- Stoploss: ₹1000
- Target: ₹1060
- The stock is showing potential for a bullish retracement, suggesting a favorable entry point for investors.
- ICICI Bank Ltd.
- Buy at: ₹1245
- Stoploss: ₹1215
- Target: ₹1270
- Strong signals suggest that ICICI Bank could rebound towards its target price.
Shiju Koothupalakkal’s Intraday Picks
-
Taj Gvk Hotels & Resorts Ltd.
- Buy at: ₹500
- Target: ₹550
- Stoploss: ₹480
- The stock has maintained a positive bias and is nearing a breakout level, indicating potential upside.
-
GlaxoSmithKline Pharmaceuticals Ltd.
- Buy at: ₹2656
- Target: ₹2800
- Stoploss: ₹2600
- Increased volume and price action suggest a strong upward trend is on the horizon.
- GMR Airports Ltd.
- Buy at: ₹74.10
- Target: ₹79
- Stoploss: ₹72
- Positive bullish candle formations indicate a favorable movement ahead, making it a solid buy recommendation.
Investors should consider these insights carefully as they navigate the market landscape today.
