Nifty 50 advanced 0.55% to settle at 25,713, while Sensex climbed 0.58% to end at 83,294.66. Despite a volatile start triggered by President Trump’s subsequent executive order imposing a 15% uniform tariff on imports, investors sought value in PSU banks, automotive, and metals.
Adani Ports (+3%) led the gains, whereas UPL plunged 15% following disappointing news. On the other hand, IT sector remained a drag, with Infosys and TCS ending in the red amid global trade uncertainty. Market breadth remained positive with an advance-decline ratio of approximately 32:19 within Nifty 50, reflecting broad-based participation.
Two stock recommendations by MarketSmith India:
Buy: Motherson Sumi Wiring India Ltd (current price: ₹44)
- Why it’s recommended: Strong OEM relationships (Maruti, Tata, others), market leader in automotive wiring harness, beneficiary of rising vehicle production, increasing premiumisation in auto segment, healthy balance sheet, and low debt.
- Key metrics: P/E: 45.71, 52-week high: ₹53.59, volume: ₹41.57 crore
- Technical analysis: Trendline breakout and reclaimed its 200-DMA
- Risk factors: High dependence on passenger vehicle cycle, customer concentration risk, margin pressure from raw material costs, limited pricing power with OEMs, and slow EV transition impact on product mix.
- Buy: ₹43.50–44.50
- Target price: ₹50 in two to three months
- Stop loss: ₹41
Buy: Pricol Ltd (current price: ₹630.90)
- Why it’s recommended: Strong positioning in automotive electronics and instrument clusters, exposure to premiumisation and electrification trends
- Key metrics: P/E:34.60, 52-week high: ₹694, volume: ₹52.61 crore
- Technical analysis: inverted head and shoulder breakout retest
- Risk factors: High dependence on the cyclical automotive sector, margin pressure from input cost volatility, and technological disruption
- Buy at: ₹625–635
- Target price: ₹730 in two to three months
- Stop loss: ₹590
Nifty 50 rceap
Indian equities closed higher on Monday, extending gains for a second straight session as global risk appetite improved after a US Supreme Court ruling against Trump-era tariffs eased trade concerns. Nifty 50 rose 141.75 points (+0.55%) to 25,713, while Sensex gained 479.95 points (+0.58%) to 83,294.66.
Nifty PSU Bank (+1.36%), financial services (+0.87%), auto (+0.83%), and FMCG (+0.70%) led the gains. Nifty IT (-1.42%) was the clear laggard. HDFC Bank, Kotak Mahindra, Reliance, and Bharti Airtel provided the bulk of index support, whereas Infosys and other large IT names (TCS, HCL Tech, and Wipro) capped gains.
The rupee also ended slightly firmer at 90.88 per dollar. Despite the headline rally, market breadth was weaker, with 1,494 stocks advancing, 1,672 stocks declining, and 112 stocks remain unchanged. Nifty Midcap 100 slipped 0.43%, underscoring selective large-cap buying.
Nifty rebounded once again from 25,350–25,400, underscoring strong buying interest at these levels. However, the index failed to close above its 50- and 100-DMA, indicating persistent overhead pressure and a lack of strong follow-through momentum.
Price action continues to reflect a lower-high and lower-low price structure on the daily chart, highlighting that the broader short-term trend remains corrective despite intermittent pullbacks. Momentum indicators present a mixed picture: the RSI has recovered from lower levels and is hovering around the mid-50 zone, suggesting a gradual improvement in momentum but not yet signaling a decisive bullish shift.
Meanwhile, the MACD has turned positive with a mild bullish crossover, though the histogram remains relatively shallow, indicating that upside momentum is still nascent.
According to O’Neil’s methodology of market direction, the Indian equity market has transitioned from a Downtrend to a Rally Attempt, indicating an early improvement in the near-term market tone.
The 25,800–26,000 remains as a key resistance band, with supply emerging on prior recoveries. A sustained move above this zone is needed to strengthen bullish momentum. On the downside, a decisive break below 25,300 could trigger renewed selling, exposing 25,000 initially and potentially the critical 24,500 level thereafter.
Nifty Bank performance
Nifty Bank opened on a mildly positive note and remained largely range-bound throughout the session, showing resilience after testing lower levels early in the day. After hitting its intraday low, the index witnessed a gradual recovery and closed in positive territory, reflecting steady buying interest at lower levels. The index opened at 61,145.55, touched an intraday high of 61,517.80, slipped to a low of 61,029.15, and finally settled at 61,264.25, up 92.25 points (+0.15%). The index formed two consecutive bullish candles on the daily chart. The price action indicates a consolidation phase near recent highs with buyers defending key short-term averages.
On the momentum front, the RSI is positioned near 59.63, indicating neutral-to-positive momentum and suggesting the index is not yet in overbought territory, leaving room for further upside if buying strengthens. Meanwhile, the MACD remains in positive territory with the signal line trending above the zero line, reflecting improving momentum and a continuation of the short-term bullish bias. The gradual rise in histogram bars indicates strengthening bullish momentum. However, the relatively flat slope suggests the trend is steady rather than aggressive, pointing toward a phase of gradual accumulation rather than a sharp directional move in the immediate term.
Technically, immediate support for Nifty Bank is placed near 60,300–60,000, which coincides with the 21-DMA, followed by stronger support around 59,700–59,000 near the 50-DMA. On the upside, resistance is seen near 61,500, and a decisive breakout above this level could open the path toward 62,000–62,300 in the near term. Considering stable macro cues, steady credit growth outlook, and improving sentiment toward financials, the index is likely to trade with a mild upward bias while remaining range-bound. Any dips toward support zones may attract buying interest, while a sustained move above resistance could trigger momentum-driven upside in the coming sessions.
MarketSmith India is a stock research platform and advisory service focused on the Indian stock market. It offers tools and resources to help investors make informed decisions based on the CAN SLIM methodology, founded by legendary investor William J. O’Neil. You can access a 10-day free trial by registering on its website.
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Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before making any investment decisions.