Buy or sell stocks: The key benchmark indices of the Indian stock market staged a sharp intraday recovery on Wednesday, with the Sensex surging over 550 points from its session low to settle 407 points higher at 80,567.71, while the Nifty 50 reclaimed the 24,700 mark, ending the day 135.45 points up at 24,715.05, reflecting a 0.55% gain.
The metal pack extended its winning streak for the third straight session, outperforming broader indices. Tata Steel and Jindal Steel & Power led the charge, rallying 6% and 5.5%, respectively, buoyed by tightening supply cues from China and a softening US dollar, which improves global pricing power. SAIL and Hindustan Copper followed suit, advancing 5.26% and 4.7%, respectively, as base metal sentiment remained bullish. FMCG and consumer durables stocks caught a bid amid optimism around potential consumption-led tax rationalisation as the GST Council commenced its two-day meet, sparking hopes of demand-side stimulus.
Stock market today
Vaishali Parekh, Vice President of Technical Research at Prabhudas Lilladher, believes the Indian stock market sentiment has improved. The Nifty 50 index finished close to its 50-DEMA resistance at 24,800. Breaking above this hurdle looks possible today after the announcement of indirect tax rationnalisation post-GST Council meeting on Wednesday evening.
Speaking on the outlook of the Nifty 50 index, Vaishali Parekh said, “The Nifty 50 index indicated an optimistic move after the flat opening session to end above the 24700 zone with anticipation of positive cues from the GST rate outcome, which would decide the further course of the market in the coming days. The index would need a decisive move past the important 50EMA level at the 24800 zone, which can trigger a fresh further upward move along with the broader markets beginning to participate to support the benchmark indices. The 24500 zone shall remain the important support zone for the index.”
On the outlook of the Bank Nifty today, Parekh said, “The Bank Nifty index maintaining the important support zone near 53500 zone has indicated a significant pullback to end above the 54000 zone with the banking giant HDFC Bank indicating prominent positive cues signalling a buy from the oversold zone after a long wait to boost the index anticipating for further gains in the coming sessions. The index would need a decisive move past the 55000 zone to improve the bias overall and anticipate a fresh upward move in the coming days.”
Parekh said that immediate support for the Nifty 50 index is placed at 24600, while the resistance is seen at 24900. The Bank Nifty would have the daily range of 53600-54800.
Vaishali Parekh’s stock recommendations today
Regarding intraday stocks to buy today, Vaishali Parekh recommended these three buy-or-sell stocks: Paisalo Digital, IDFC First Bank, and Belrise Industries.
1] Paisalo Digital: Buy at ₹33, Target ₹37, Stop Loss ₹31;
2] IDFC First Bank: Buy at ₹70, Target ₹75, Stop Loss ₹68; and
3] Belrise Industries: Buy at ₹139, Target ₹145, Stop Loss ₹135.
Disclaimer: The views and recommendations above are those of individual analysts or brokerage companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
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