Indian benchmark indices opened lower on Monday, 13 July, as escalating tensions in the Middle East dampened investor sentiment. According to reports from LiveMint, Nifty 50 declined 0.69% to 24,039.40, while BSE Sensex fell 0.78% to 76,963.35 at around 9:15 IST. The weakness was broad-based, with all 16 sectoral indices trading in negative territory amid rising crude oil prices. The broader market also came under pressure, as both the Nifty Midcap and Nifty Smallcap indices slipped around 0.6% each. Investor sentiment remained cautious after US and Iranian forces exchanged fresh missile and drone strikes over the weekend.
As reported by LiveMint, Nifty 50 snapped its four weeks winning streak and settled the volatile week on a muted note at 24,206, down 0.25%. Despite the benchmark decline, the broader market defied the trend by gaining 1%, with the midcap index clocking a fresh all-time high. According to Dharmesh Shah, Vice President at ICICI Securities, Nifty 50 demonstrated resilience by holding its 50-day EMA near 23,800, which reaffirms underlying strength. The index is expected to regain upward momentum and target the previous swing high of 24,600 in the coming weeks, with Bank Nifty forming a higher base formation above its long-term 200-day EMA.
According to Dharmesh Shah's recommendations from ICICI Securities, Shriram Finance is recommended for buying in the range of ₹1,022-1,044 with a share price target of ₹1,134 and stop loss of ₹1,008. Additionally, Brigade Enterprise is suggested for buying in the range of ₹560-574 with a target of ₹608 and stop loss of ₹539. As reported by LiveMint, Shah expects volatility to remain elevated as Q1FY27 earnings season approaches, with focus on accumulating stocks on dips backed by strong earnings as key support is placed around 23,600 levels.
According to the technical analysis from ICICI Securities, key monitorables include inflation prints for India and US, any positive development on the geopolitical front, and resultant cool off in crude oil prices. The current up move in the broader market is supported by significant improvement in market breadth, with the reading of % of stocks above 200 days SMA improving to 53% from six weeks back reading of 43%. The US Small cap Index (Russell 2000) has been trading near all-time highs after breaking out of a 4-year consolidation, mirroring the buoyancy in global broader markets.
