The Indian stock market has shown remarkable resilience amidst rising tensions related to the India-Pakistan conflict, yet it faced notable sell-off pressures at the end of last week. After a brief market closure on Thursday, the key indices on Dalal Street experienced significant declines on Friday. The Nifty 50 plummeted 265 points, or 1.1%, closing just above the 24,000 threshold at 24,008. Meanwhile, the BSE Sensex witnessed a staggering drop of 880 points, marking its most considerable intraday fall since April 7, ultimately settling at 79,454.
Market Overview and Key Support Levels
According to Vaishali Parekh, Vice President of Technical Research at Prabhudas Lilladher, the support level for the Nifty 50 has now shifted to 23,800, following its closure above 24,050. Parekh noted that the index is encountering resistance at 24,400, and the market’s trend—be it bullish or bearish—will largely depend on whether it breaks through this critical range.
Today’s Nifty 50 Outlook
Discussing the current outlook, Parekh stated, “The Nifty 50 opened lower due to escalating tensions at the border and closed close to the 24,000 mark amid heightened volatility. The index has slipped below the crucial 200-period moving average at the 24,050 level, indicating a weakening bias. The immediate support is now at around 23,800, while a decisive breach above 24,400 is necessary for a bullish shift.”
Bank Nifty Performance
The Bank Nifty also struggled, opening near 53,600 and closing at the same level after a significant drop of 770 points. It has now fallen below the vital support level of 54,000, with 52,000 identified as the next critical zone for potential stabilization. Parekh mentioned that the index is likely to fluctuate within a daily range of 53,400 to 54,600.
Recommended Stocks to Watch
For investors looking to navigate these turbulent waters, Parekh has identified three stocks worth considering:
- Protean eGov Technologies: Buy at ₹1269, Target ₹1320, Stop Loss ₹1230.
- MMTC: Buy at ₹52, Target ₹56, Stop Loss ₹50.
- GRSE: Buy at ₹1799, Target ₹1900, Stop Loss ₹1730.
As the market navigates these uncertainties, staying informed about support levels and recommended stocks can help investors make more strategic decisions.
