Market strategist Rohit Srivastava predicts the Nifty 50 index could reach 27,000 by the end of this year or early next year, according to his latest analysis with Mint. Despite current challenges from geopolitical uncertainties, Srivastava believes the market is positioned for a significant recovery. The Nifty is currently 9% down from its all-time high but has gained 6.6% from the April bottom of 22,542, indicating the market is in between its yearly highs and lows. Srivastava emphasizes that investors should continue buying dips and accumulating growth stocks as individual stocks have outperformed the market, with the small-cap index only 2.5% below January highs and mid-cap index 3% above January highs. He advises against IT stocks due to their broken technical levels, recommending energy, metals, real estate, and banking sectors as potential outperformers.
The Indian stock market is expected to open on a cautious note, tracking mixed trends across Asian markets. According to reports from ET Now, the GIFT Nifty was trading 160 points lower, down nearly 0.7 per cent, at 24,040 around 8:10 AM. This follows a strong rally in the previous session where benchmark indices settled over 1 per cent higher. The Nifty is likely to find support around the 24,000 mark, while the 24,500 level may act as an immediate resistance zone on the upside, as per SEBI-registered Research Analyst Kunal Bothra. However, analysts maintain a positive outlook on Nifty, suggesting a buy-on-dips strategy for traders with the index potentially reaching 24,300 to 24,600 while staying above the key support level of 23,800. As per ETMarkets, the stock formed a strong base around the 50% retracement level before breaking out on July 1, with the index showing strong momentum indicators and over the past two trading sessions, the stock has rebounded sharply.
Asian markets showed mixed performance with Hong Kong's Hang Seng Index trading nearly flat at 24,194.50, while Japan's Nikkei declined nearly 1.5 per cent, falling over 1,000 points to 67,557. South Korea's KOSPI emerged as one of the biggest decliners, dropping more than 5.5 per cent to 7,052.70, according to ET Now reports. These mixed Asian cues are influencing the cautious opening expected for Indian markets.
The 30-share BSE Sensex surged 827.57 points, or 1.08 per cent, to close at 77,569.39 during the session, as reported by ET Now. During the trading session, the Sensex had gained as much as 900.41 points, or 1.17 per cent, to touch 77,642.23. The NSE Nifty 50 advanced 244.10 points, or 1.02 per cent, to settle at 24,206.90, demonstrating strong market momentum in the previous session.
Bank Nifty shows support at 57,400 and resistance around 58,706 to 59,250, according to ETMarkets analysis. The index has demonstrated strong technical setup with the stock closing decisively above its triangle resistance in Friday's session, supported by a bullish crossover in daily and weekly momentum indicators. Analysts recommend a Bull Put Spread strategy for Nifty with defined risk as traders consider the buy-on-dips approach. The technical outlook remains positive with improving momentum indicators supporting the upward trajectory.
According to ET Now, analyst Kunal Bothra has highlighted Bharat Electronics Limited (BEL) with a share price target of ₹434 and SBI Life Insurance Company with a share price target of ₹1,900. The recommendations come as part of his stock picks for the current market environment, with both stocks showing potential for significant upside movement from their current levels. ETMarkets adds specific stock recommendations including BEML, Blue Star, Steelcast, Sobha, and Grasim Industries for traders considering buy-on-dips strategies. Steelcast has resumed its primary uptrend after prolonged consolidation, forming higher highs and higher lows while holding above its rising 20-day Exponential Moving Average (20 DEMA). Sobha has confirmed a breakout from Cup and Handle pattern, resuming its primary uptrend while holding above its 200-Day Exponential Moving Average (200 DEMA) with a rising Relative Strength Index (RSI) above 60 signalling improving momentum.
