Ajit Mishra of Religare Broking Offers Investment Strategies for Three Key Stocks

Indian Stock Market Sees High Volatility Amid Global Cues and Crude Oil Prices

The Indian stock market witnessed high volatility on Thursday, April 2, due to weak global cues and a sharp rise in crude oil prices, amidst persisting uncertainty over the reopening of the Strait of Hormuz. The Nifty 50 dropped to an intraday low of 22,182.55 during the session but rebounded sharply in the fag end of trade. As a result, the index closed 34 points, or 0.15%, higher at 22,713.10.

The rupee's strong gain seems to have supported market sentiment. The domestic currency closed with a solid gain of 171 paise, or 1.80%, at 93.10 per dollar, according to Bloomberg data.

The market's initial sell-off was triggered by renewed geopolitical concerns following statements from the US President. Weakness across Asian and European markets further weighed on domestic equities. However, a recovery in the rupee against the US dollar, oversold market conditions, and some short covering ahead of the long weekend supported the rebound.

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Market Expectations and Recommendations

According to Ajit Mishra, SVP of Research at Religare Broking, the Nifty continues to exhibit high volatility with sharp intraday swings, indicating indecisiveness at current levels. He expects the prevailing volatility to persist in the near term.

Immediate resistance is placed in the 23,000–23,200 zone, with a key hurdle around 23,500, while support is seen at 22,300–22,000 levels. Traders should remain cautious and adopt a hedged approach until clearer signs of stability emerge.

Stock Recommendations

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Mishra pointed out that BSE shares are exhibiting a constructive bullish structure, with price action consolidating above an upward-sloping long-term moving average, indicating underlying strength. Jindal Steel shares, after correcting from their record peak, have successfully retested the neckline of their cup-and-handle breakout zone, reinforcing the prevailing uptrend. Asian Paints, on the other hand, continues to face sustained selling pressure, with the declining 20-day EMA acting as a strong resistance, indicating the potential for additional downside.