Investor Strategist Identifies Three Stocks for Potential Monday Buys

Indian Stock Market Ends Higher for Fifth Straight Session

The Indian stock market ended on a positive note, driven by global cues on the de-escalation of the US-Iran war. The key benchmark indices of the Indian stock market, the Nifty 50 and the BSE Sensex, closed higher for the fifth consecutive session. The Nifty 50 index gained 156 points and closed at 24,353, while the BSE Sensex ended 504 points higher at 78,493. The Bank Nifty index also ended higher, closing at 56,565 after gaining 479 points.

The sectoral trends remained largely positive, with most sectors ending in the green. The FMCG, energy, and metals sectors led the gains, while the IT and pharma sectors remained relatively muted. The broader markets continued to outperform, with the mid-cap and small-cap indices advancing around 1.5% each. This indicates sustained risk appetite in the market.

Market Outlook

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According to Sumeet Bagadia, Executive Director at Choice Broking, the Indian stock market is biased positively. He believes that the formation of a strong bullish candle above the 50-day DEMA reflects underlying strength and positive market sentiment for the Nifty 50 index.

Sumeet Bagadia noted that the 24,500-24,550 zone is acting as immediate resistance for the Nifty 50 index, while firm support is seen in the 24,150-24,200 range. The daily RSI stands at 57.11, indicating improving momentum with a bullish bias. The India VIX declined by 4.87% to 17.20, suggesting reduced market volatility and improved investor confidence.

Derivatives Segment

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In the derivatives segment, significant put writing at the 24,200 strike and aggressive call writing at the 24,500 strike indicate that the index is likely to consolidate within a narrow range in the near term. Traders are advised to remain cautious.

Bank Nifty Index

Sumeet Bagadia also noted that the 56,900-57,050 zone is acting as an immediate resistance level for the Bank Nifty index, while the 56,000-56,100 range is a key support area. The daily Relative Strength Index (RSI) stands at 56.05, reflecting improving momentum with a mildly bullish undertone.

Stock Recommendations

Sumeet Bagadia recommended three buy-or-sell stocks: Nestle India, JSW Steel, and Coal India.

Nestle India is maintaining a strong bullish structure, trading around ₹1,285 and holding firmly within an upward-sloping channel. JSW Steel is displaying a steady recovery after a brief phase of consolidation, currently trading near ₹1,240. Coal India is going through a mild consolidation phase after its recent upward move, stabilising at higher levels.