Indian equity benchmarks closed higher on Monday, May 5, with the Nifty 50 gaining 121.75 points (0.51%) to settle at 24,119.30. The Sensex advanced 355.90 points (0.46%) to finish at 77,269.40. According to reports from MarketSmith India, the session was supported by broad-based buying with a healthy advance-decline ratio of 2,140:1,187, indicating strong participation from mid- and small-cap stocks. The rally was influenced by vote counting in five state elections, including West Bengal, Assam, Tamil Nadu, Kerala and Puducherry, with early trends showing strong performance by the ruling central alliance. The index moved in a range of 24,004–24,290, indicating mild profit-booking at higher levels but sustained resilience above the 24,000 mark.
Sectorally, realty led gains with a 2.41% rise, followed by metals (+1.1%), healthcare (+1.0%), and financial services (+0.8%). However, information technology lagged, falling 0.95%, while media also underperformed. As reported by MarketSmith India, PSU and private banks experienced marginal pressure, pointing to selective rotation within financials. The session was capped by global cues, with Brent crude hovering near $109 and geopolitical tensions in West Asia weighing on sentiment and limiting broader directional strength. Mid- and small-cap segments outperformed, supported by steady domestic flows.
Linde India Ltd is recommended as a buy at current price of ₹7,445 with a target price of ₹8,600 in two to three months. According to MarketSmith India, the stock offers strong parentage from Linde Plc backing, market leadership in industrial gases, stable demand from core sectors, high entry barriers, long-term contracts business model, consistent cash flow generation, expansion in healthcare & electronics gases, strong balance sheet, and pricing power in niche segments. The recommendation includes a buy range of ₹7,400–7,500 and stop loss at ₹6,970. Jindal Steel Ltd is also recommended at current price of ₹1,260 with a target of ₹1,410 in two to three months. The stock benefits from integrated steel and mining operations, strong capacity expansion pipeline, improving raw material security (coal blocks), beneficiary of infra & capex cycle in India, diversified product portfolio, export presence + global footprint, operating leverage in upcycle, and low debt compared to peers.
The Nifty 50 continues to show tentative recovery after its recent corrective phase, with a pattern of higher lows suggesting emerging buying interest. The index is approaching a key support zone around 23,800, with the next cushion placed in the 23,500–23,550 range, aligned with the 21-DMA. On the upside, initial resistance is seen at 24,250–24,300, while a stronger supply zone emerges in the 24,800–25,000 band, where multiple key moving averages converge. From a technical perspective, the RSI is hovering around 45, signalling neutral to slightly weak momentum as it remains below the midline of 50. The MACD shows signs of fading upside momentum, with a flattening histogram and a potential bearish crossover as the signal line converges. The index also continues to trade below key medium-term moving averages, reinforcing a cautious technical bias. According to O'Neil's methodology of market direction, the Indian equity market has transitioned to a 'Confirmed Uptrend' from a 'Rally Attempt'.
