Aniket PujariStock Market today: The domestic benchmark indices, Nifty 50 and Sensex, opened positively on Wednesday, influenced by strong performance in Asian markets and new inflows from foreign investors. However, profit-taking in major IT stocks caused some pressure on the markets, leading to volatility as trading progressed.
The 30-share BSE index, Sensex, rose by 172.43 points to reach 75,473.69 in early trading. Meanwhile, the Nifty 50 increased by 54 points, bringing it to 22,888.30.
Dr. V K Vijayakumar, the Chief Investment Strategist at Geojit Financial Services, believes that the favourable domestic macros support the ongoing rally. If foreign institutional investors persist in their purchases, the rally could be maintained, although this remains to be seen. The external factors continue to face negativity and significant uncertainty. The dates of April 2nd and reciprocal tariffs are approaching. The market may feel the pressure of uncertainty related to that issue.
Nifty 50 Outlook by Sagar Doshi, Senior Vice President- Research, Nuvama Professional Clients Group
Nifty 50
The index is trying to get back its mojo with Nifty 50 gaining close to 500 points from its opening level on Monday. The index had reclaimed its resistance of 22,450 last week and has completed its initial target of 22,800. NR7 formation is also seen on Nifty 50 wherein the index is trading within a narrow range of less than 2% for 7 consecutive days. A breakout from the same has been seen yesterday, and is likely to allow for a 2% move higher from the breakout point of 22,650 odd. Hence, to sum up the index is now aiming for a target of 23,150 odd.
Bank Nifty
Bank Nifty has gained traction after reversing from its 9 month low which was hit last week. The index has completed its immediate target of 49,000 after it popped out from its consolidation range of previous week. The index now hails forward to hit 49,800 / 50,200 as it has reclaimed an immediate resistance of 49,000 and the same is now likely to act as support. Any dips near the 49,000 mark can be used to add fresh longs for the mentioned target on the upside.
Stock Picks: Stocks To Buy on Wednesday- Sagar Doshi
On stocks to buy on Wednesday, Sagar Doshi of Nuvama recommended three stocks – Adani Ports and Special Economic Zone Ltd, Vedanta Ltd, and DLF Ltd.
Adani Ports and Special Economic Zone Ltd (BUY): LCP: ₹1,158.80; SL: ₹1,111; TGT: ₹1,299
A 3 month trendline breakout has been seen on charts of Adani Ports, this is in sync with a reversal from a 50% retracement zone on charts near 1000 where the chart has formed a triple bottom. A retest of 200 DMA upside is now open towards 1290+
Vedanta Ltd (BUY): LCP: ₹460.00; SL: ₹443; TGT: ₹502
Stock has closed at a 2 month high on charts along with reclaiming back above its 200 DMA after a month’s struggle. Along with this on hourly and daily charts, VEDL has given a bullish flag breakout allowing further room for upside. Another 8-10% upside cannot be ruled out given the price action on charts.
DLF (BUY): LCP: ₹674.80; SL: ₹650; TGT: ₹718
DLF has completed a 35% correction from its highs, a similar percentage of cooldown was seen in 2021-2022 correction in this REALTY bull market started since Covid lows. A reversal has been confirmed on weekly charts with initial spike of 6-8% on the upside.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
