Indian equities continue to exchange with a obvious bias, and the uptrend looks sustainable as prolonged as the Nifty holds above key enhance stages, says Rahul Sharma, Director & Head – Technical & Derivatives Analysis, JM Monetary Providers and products.
Talking to ET Now, Sharma important that despite most modern volatility, the market remains underpinned by power in banking and monetary shares, with FIIs exhibiting reduced short positions in these sectors.
“Technically, Nifty remains in a bull grip as prolonged as we don’t discontinuance beneath 25,000. Once 25,200 is crossed, we can count on a pass in direction of 25,500 within the short term,” he acknowledged.
He educated merchants to aquire on dips with a end loss at 24,950, suggesting that stock-specific motion will drive the subsequent segment of positive aspects.
Top stock picks: BSE and IndusInd Bank
Sharma highlighted Bombay Stock Exchange (BSE) and IndusInd Bank as his excessive-conviction picks within the fresh market setup.
“BSE has come out of a 3-to-four-month segment of underperformance and is exhibiting stable reversal alerts,” he acknowledged.
He expects the BSE stock to climb in direction of ₹2,500–2,550, recommending accumulation on dips with a end loss discontinuance to ₹2,100.
On IndusInd Bank, Sharma acknowledged the stock offers a exquisite possibility-reward setup after a exact restoration.
“IndusInd Bank didn’t rob part in basically the most modern rally, but quantity and worth motion bear improved. Shopping for around ₹750 with a end loss at ₹720 would possibly yield targets of ₹840–850,” he added.
Sector seek: Pharma and metals
In sectoral phrases, pharma and metals are succor in center of attention, with Divi’s Laboratories rising as a stable funding decide.
“Divi’s Labs has reversed from oversold stages discontinuance to ₹5,700 and looks residing for a pass in direction of ₹6,600–7,000. It’s a solid funding bet — aquire on dips,” Sharma educated.
Whereas obvious on the metals index, he cautioned that the momentum would be discontinuance to its peak.
“Metals are extra of a procuring and selling substitute honest now. Tata Steel is a proper decide for non everlasting merchants — aquire on dips with a end loss at ₹170 for a target of ₹185,” he acknowledged.
Market outlook
With earnings season kicking off and banking shares leading the fee, Sharma believes the broader market structure remains obvious — supported by liquidity, institutional hobby, and improving home fundamentals.
“BFSI and decide out largecaps are driving the soar publish-RBI coverage. As prolonged as key helps preserve, the bull style stays intact,” he concluded.
Key technical stages:
Nifty enhance: 25,000
Nifty resistance: 25,200 → 25,500
Trading system: Aquire on dips, center of attention on stock-specific moves
