The stock market showed signs of recovery for the week ending March 7, with the Nifty-50 index surging nearly 2%, closing at 22,552.50. The Bank Nifty index also reflected positive momentum, ending at 48,497.50, marking a modest gain of 0.3%. Key sectors, including metals, energy, and pharmaceuticals, saw notable advancements, while the broader market outperformed with gains ranging from 2-5% during the week.
Market Outlook for Nifty-50
As traders prepare for the upcoming week, the Nifty-50 index has crucial support levels at 22,400 and 22,300. If these levels hold, the index could potentially rebound towards the 20-day Simple Moving Average (SMA) or even reach 22,750. A further upward movement could see it climbing to 22,900. However, if it dips below 22,300, market sentiment may shift negatively, according to Amol Athawale, VP of Technical Research at Kotak Securities.
Insights on Bank Nifty
For the Bank Nifty, the pivotal support level is set at 48,000. A bounce above this threshold could propel it toward the 50-day SMA, with targets set at 49,300 and 49,700. Conversely, a drop below 48,000 could jeopardize the upward trend, Athawale warns.
Global Market Sentiment
Global market sentiment has seen an uptick, fueled by reports indicating a delay in tariffs from the U.S. and the potential for renewed negotiations, which has helped stabilize financial markets. Additionally, a weakened dollar and falling crude oil prices have further bolstered investor confidence.
Key Trading Week Ahead
The upcoming trading week will be shorter due to holidays, but traders will remain vigilant about global developments, particularly regarding tariff negotiations and geopolitical tensions. Ajit Mishra, SVP of Research at Religare Broking Ltd, emphasizes the importance of monitoring these factors, as they could significantly influence the U.S. dollar and crude oil prices.
Stock Recommendations for Today
Sumeet Bagadia, Executive Director at Choice Broking, has highlighted two stocks to buy today, while Ganesh Dongre from Anand Rathi and Shiju Koothupalakkal from Prabhudas Lilladher have provided additional recommendations.
Sumeet Bagadia’s Top Picks:
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Deepak Fertilisers & Petrochemicals Corporation Ltd
- Current Price: ₹1,116.15
- Target Price: ₹1,194
- Stop Loss: ₹1,077
- The stock has shown a bullish candlestick pattern and is building a double-bottom formation, suggesting strong buying interest.
- Mazagon Dock Shipbuilders Ltd
- Current Price: ₹2,338.20
- Target Price: ₹2,502
- Stop Loss: ₹2,256
- The stock is reversing from a support zone, indicating a robust bullish outlook backed by rising volumes.
Ganesh Dongre’s Recommendations:
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Max Financial Services Ltd
- Current Price: ₹1,035
- Target Price: ₹1,075
- Stop Loss: ₹1,020
- A bullish reversal is forming, suggesting a potential price increase towards the target.
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ITC Ltd
- Current Price: ₹403
- Target Price: ₹418
- Stop Loss: ₹395
- The stock is showing signs of a temporary retracement, making it a viable buying opportunity.
- Indian Energy Exchange Ltd
- Current Price: ₹164
- Target Price: ₹170
- Stop Loss: ₹158
- The stock is currently oversold, and a bullish reversal indicates a promising upward potential.
Shiju Koothupalakkal’s Intraday Picks:
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Jupiter Wagons Ltd
- Current Price: ₹315.85
- Target Price: ₹340
- Stop Loss: ₹305
- Following a correction, the stock shows a positive trend reversal, suggesting significant upside potential.
-
Taj GVK Hotels & Resorts Ltd
- Current Price: ₹484
- Target Price: ₹520
- Stop Loss: ₹473
- The stock maintains a positive bias and is expected to break above the 502 level, indicating further growth.
- Kaynes Technology India Ltd
- Current Price: ₹4,457
- Target Price: ₹4,670
- Stop Loss: ₹4,360
- After a consolidation phase, the stock has shown a favorable trend reversal, making it a solid buy.
Traders are advised to consider these recommendations carefully as they navigate the evolving landscape of the stock market.
