Indian markets ended marginally lower as sectoral divergence offset gains in banks and metals. According to reports from The Economic Times, the domestic market gave up early gains as sectoral divergence weighed on benchmarks throughout the session. IT stocks weakened significantly on visa appointment concerns, while easing bond yields supported financials and metals gained on better realization prospects. NIFTY closed down 0.23% at 24,277.5 while Sensex remained flat at 77,655.51. Inflation concerns receded on tempered US sanctions on Iran, easing domestic bond yields and lifting banking stocks, while metals gained on better realization prospects.
Ashok Leyland is breaking out above the 179 resistance zone that has capped price since April, closing 2.5% higher at ₹179.05 on expanding volume. As reported by The Economic Times, the stock trades above its short- and long-term moving averages, with RSI near 65 and rising confirming momentum. Virat Jagad, Sr Technical Research Analyst at Bonanza Portfolio, recommends buying the stock with a buying zone of ₹178-180, stop-loss at ₹173, and target of ₹192. The technical structure shows a clean higher-high, higher-low pattern since the August low. Support sits at ₹173, while ₹179 marks the breakout; sustained trade above it extends the uptrend.
NMDC is breaking out of a multi-week rectangle consolidation between ₹82.5 and ₹88, closing 2.6% higher at ₹88.21 on strong volume expansion. According to The Economic Times, the stock trades above its short- and long-term moving averages, with RSI near 62 and turning up sharply, confirming renewed momentum. Virat Jagad recommends buying NMDC with a buying zone of ₹88-89, stop-loss at ₹84.5, and target of ₹95-98. The base built since July marks immediate support at ₹84.5, while ₹88 was the capping resistance; sustained trade above the breakout extends the upmove toward higher levels.
Ashok Leyland has gained 37.5% over the last year compared to a 0.91% decline in NIFTY and a 15.69% drop in the Nifty Auto index, significantly outperforming its sector. The stock trades at a PE ratio of 26.65 based on TTM earnings ending June 26. Today's trading volume stood at 125.93 lakh shares, slightly below the monthly average of 190.66 lakh shares. The September futures contract is trading at ₹179.61, up 2.1% on the day, indicating continued bullish sentiment among institutional investors. The stock has gained 15.12% in the last one month, outperforming the Nifty Auto index which has gained 5.36% in the same period.
