Market Opens on a Positive Note
Indian equity benchmarks commenced Tuesday's trading session on a cautiously optimistic note, registering modest gains. This upward movement was primarily fueled by positive signals emanating from global markets. However, the overall sentiment remained guarded as investors eagerly awaited the release of crucial exit polls for the ongoing state elections and digested news of the recent explosion in the national capital.
At the opening bell, the Nifty 50 index advanced by 42.65 points, a gain of 0.17%, to reach 25,617. Similarly, the Sensex appreciated by 136.17 points, or 0.16%, opening at 83,671.52. Market participants are expected to maintain a watchful stance throughout the day, with the exit polls being a key determinant of short-term direction.
Analyst Views on Key Indices
Riyank Arora, Technical Analyst at Mehta Equities Ltd, provided a detailed technical perspective on the market. He noted that the Nifty 50 continues to display mild weakness, struggling to hold firmly above the 25,500 mark. The broader sentiment remains slightly negative due to persistent profit-booking at higher levels.
According to Arora, the index now faces a major resistance hurdle near 25,650, while immediate support is positioned around 25,500. A sustained move below this support level could trigger further downside towards 25,350. Conversely, a decisive close above 25,650 is needed to signal strength and a potential trend reversal. Until then, traders are advised to remain cautious and avoid aggressive long positions.
Bank Nifty Struggles for Direction
The banking sector index, Bank Nifty, showed limited directional movement, oscillating within a narrow range. The index is finding it difficult to break above key resistance levels. It currently faces strong resistance at 58,100, with support established near 57,700.
The trend for Bank Nifty remains slightly negative, with selling pressure evident at higher levels. A close below the 57,700 support may invite further weakness towards 57,400. Any recovery attempts are likely to encounter hurdles near 58,100. Traders are recommended to maintain a defensive approach and consider selling on intraday bounces until the index closes convincingly above 58,100.
Short-Term Stock Picks from an Expert
Riyank Arora has recommended three stocks for short-term trading opportunities:
BHEL (Bharat Heavy Electricals Ltd): With a Current Market Price (CMP) of ₹273, a stop loss (SL) of ₹267, and targets of ₹282 and ₹285+, BHEL is trading in a strong uptrend. The stock is holding above its key short-term moving averages and showing strong volume-backed momentum, indicating sustained institutional buying.
Godrej Properties: With a CMP of ₹2,170, an SL of ₹2,120, and targets of ₹2,225 and ₹2,240, Godrej Properties maintains a bullish structure. The stock is consolidating near its breakout zone and appears ready for an upward move.
Sambv Steel: With a CMP of ₹114, an SL of ₹105, and targets of ₹125 and ₹130, Sambv Steel has shown strong accumulation patterns. The stock is attempting to form a breakout structure, supported by improving volume activity.
Disclaimer: The views and recommendations above are from individual analysts and not of Mint. Investors are advised to consult certified experts before making any investment decisions.
