In an impressive display of resilience, Indian stock markets have rallied for the sixth consecutive session, reaching their highest closing figures in nearly four months. This surge has been primarily driven by robust performances in the financial sector, particularly following a pivotal decision by the Reserve Bank of India (RBI) to ease deposit buffer regulations for banks. The BSE Sensex climbed by 187.09 points, settling at 79,595.59, while the NSE Nifty increased by 41.70 points to reach 24,167.25.

Market Performance Overview

• The Sensex experienced a notable intraday increase, peaking at 79,824.30, before closing slightly lower.
• The Nifty Bank index reflected strong growth, rising by 0.6% and achieving record highs for the second straight session.
• Heavyweights like HDFC Bank and ICICI Bank have consistently reached record levels over the past three days.

Technical Insights on Nifty 50

Rupak De, a Senior Technical Analyst at LKP Securities, offered insights into the Nifty 50 index’s trajectory. He noted that while the index has remained range-bound, it is crucial that it stays above the 24,000 mark to maintain a positive outlook.

• Support Level: 24,000
• Potential Resistance: 24,500
• De emphasized the importance of not breaking below 24,000, which could signal a minor pullback.

Nifty Bank Outlook

Hrishikesh Yedve, AVP of Technical and Derivatives Research at Asit C. Mehta Investment Intermediates Ltd, highlighted the Nifty Bank index’s performance. He pointed out that the index remains above the critical breakout level of 54,470, but selling pressure is evident at higher levels.

• Resistance Level: 56,000
• Support Level: 54,470
• Yedve advised short-term traders to consider booking profits near 56,000 and to re-enter on dips.

Stock Recommendations Under ₹100

Investment experts have pinpointed several stocks worth considering for those seeking options below ₹100. Notable recommendations include:

• PNB Gilts Ltd:

  • Buy at ₹99-100
  • Target Price: ₹102-108+
  • Stoploss: ₹97.80

• IDBI Bank:

  • Buy at ₹84.50-85.50
  • Target Price: ₹87-95
  • Stoploss: ₹83

• Snowman Logistics Ltd:

  • Buy at ₹54
  • Target Price: ₹60
  • Stoploss: ₹51
• SJVN:
  • Buy at ₹99
  • Target Price: ₹205
  • Stoploss: ₹97.50

Conclusion

As the markets continue to exhibit upward momentum, investors are advised to keep a close eye on key support and resistance levels. The current environment presents opportunities, especially in the financial sector, which has shown substantial strength. Stay informed about market trends and stock movements to make strategic investment decisions.