Stock market today: The stock markets kicked off the new week on a flat note, with investors showing caution amidst ongoing foreign fund outflows and concerns over valuations. The markets have been struggling over the past 13 months, pressured by external factors such as tariffs, consistent selling by foreign institutional investors (FIIs), and high valuations leading to increased selling activity.
At the opening bell, the Nifty 50 index saw a slight uptick, gaining 22.30 points, or 0.09%, to reach 24,916.55. Meanwhile, the BSE Sensex opened higher by 67.62 points, or 0.08%, settling at 81,274.79.
Technical views by Vatsal Bhuva, Technical Analyst, LKP Securities on F&O market
Nifty 50 index extended its strength in Friday’s session after a confident closing above its short-term resistance. The index took crucial support near its 100-day EMA at 24,750 and ended with a strong close around the 50-day EMA. On the derivatives front, heavy put writing at 24,800 signals a support base, while the highest OI concentration at 25,000 highlights a strong resistance zone, also validated on technical charts.
Overall, Nifty 50 is expected to trade in a mildly bullish range of 24,750–25,100, with support at 24,750 and resistance at 25,000–25,100.
Derivative(F&O) Development and Outlook
Derivative data indicates improving bullish sentiment as Wednesday’s session witnessed short covering followed by long buildup in futures. On the options front, consistent put writing at 24,700 and 24,800 levels, along with a rising PCR ratio, signals short-term strength. However, Nifty 50 is approaching the crucial 25,000 mark, a zone where bears have historically built strong short positions and where the highest outstanding call writers remain active. Hence, while support lies at 24,800 and 24,500, resistance at 25,000 could act as a key hurdle, aligning with technical chart signals.
Strategy:-Buy Nifty Oct Future on Dip towards 24,950-24,900 zone Stoploss 24,820 Target 25,125
Stock Pick
Buy Indusind Bank at ₹745; SL at ₹715; TGT at ₹795
Indusind Bank share price, after a prolonged downtrend, is trading in a down channel consolidation and recently formed a bullish harami candlestick pattern on the daily chart, signaling potential recovery. In Friday’s session, it closed near its 20-day EMA, reflecting early signs of strength. A positive divergence on RSI further supports the possibility of a substantial recovery in the coming sessions. With momentum building, the stock is likely to extend its move towards the 100-day EMA placed at 796 levels, which acts as the next key resistance zone.
Buy Shyam Metalics and Energy Ltd at ₹960-970; SL at ₹935; TGT ₹1,020
Shyam Metalics share price has given a strong consolidation breakout on the daily chart, supported by a long bullish candlestick and significant volume, indicating renewed buying interest. RSI has entered a bullish crossover and is placed at 65, suggesting sustained strength in momentum. These technical developments signal the continuation of bullish momentum in the stock, with potential for further upside in the near term as positive sentiment and strong volume participation support the ongoing upward trend.
Buy Bank of Baroda at ₹263-258; SL at ₹252; TGT at ₹276
Bank of Baroda share price has given a falling trendline breakout on the technical chart, indicating a shift in momentum. After the initial breakout, it successfully took support near the breakout point during a brief retracement, followed by a strong follow-up breakout, confirming buying strength. The stock is now sustaining above its 20-day EMA, reflecting stability in the uptrend. Additionally, the RSI is in a bullish crossover, supporting the continuation of bullish momentum and signaling potential for further upside in the near term.
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.
