Nifty 50 Outlook: Analyst Sees Continued Directionless Trend in June, Recommends Two Bullish Investments

Market Outlook: Range-Bound Conditions Expected to Persist in June

The Indian stock market is expected to remain range-bound in June, with the Nifty 50 index likely to trade within a narrow 1,219-point range, marking its smallest monthly trading range since December 2025. According to Sudeep Shah, Head - Technical and Derivatives Research at SBI Securities, the market appears poised to remain directionless as long as the index continues to trade within the 24,000–23,250 zone.

Nifty 50 Trading Range

Read also: Treasury Yields Experience Largest Increase in Two Weeks Following Release of Labor Market Data

The Nifty 50 index traded within a narrow range of 1,219 points in May, with most sessions witnessing gap-up or gap-down openings. The monthly chart formed a bearish candle with shadows on both sides, reflecting market indecision amid ongoing geopolitical uncertainties. The index remains below all key moving averages, which have flattened, indicating a lack of trend. Daily RSI, Stochastic, and ADX readings also suggest weak momentum and range-bound conditions.

Bank Nifty Trading Range

The Bank Nifty index traded within a relatively narrow range of 3,550 points in May, registering its tightest monthly trading range since January 2026. On the monthly chart, the index formed a High Wave candlestick pattern, highlighting indecision and the absence of a strong directional trend among market participants. The index continues to trade below its key moving averages, all of which are sloping downward, indicating a weak undertone.

Top Two Bets for Next Week

Read also: US-Iran Tensions Spark Uptick in Oil Prices Amid Global Market Decline

Sudeep Shah recommends accumulating Larsen & Toubro and Minda Corporation for next week. Larsen & Toubro has witnessed a strong rebound of nearly 6 percent after taking support near its 200-day EMA on May 13, signalling renewed buying interest at lower levels. The RSI has steadily moved higher and is now positioned just above the 60 mark, reflecting strengthening bullish momentum.

Other Stocks to Watch

Hitachi Energy continues to exhibit strong bullish momentum and appears well-positioned to extend its upmove despite the sharp rally seen in recent sessions. The stock remains in a strong higher high–higher low formation on the daily chart, supported by healthy volume expansion, indicating sustained buying interest. Netweb Technologies and Wockhardt have witnessed strong bullish breakouts, closing above their previous swing highs on the daily chart. However, RSI levels at 73 for Netweb and 81 for Wockhardt suggest the stocks are in the overbought zone, making short-term profit booking possible.

Thermax and Aditya Infotech

Both Thermax and Aditya Infotech continue to display strong bullish setups on the charts. Thermax has broken above its previous swing high of Rs 4,880 with strong volume support, while RSI bouncing from the 60 mark indicates renewed bullish momentum. Aditya Infotech has rallied nearly 25 percent over the last seven sessions with strong volume participation.