The Indian stock market continued its upward trajectory for the fourth straight session on Wednesday, buoyed by robust global market sentiments. The Nifty 50 index gained 34 points to close at 22,402, while the BSE Sensex rose 114 points to end the day at 73,852. The Bank Nifty index also surged by 218 points to settle at 48,189.
Despite the positive market sentiment, cash market volumes on the NSE declined compared to the previous day, totaling 1.03 lakh crore. However, broad market indices outperformed the Nifty 50 index, with the advance-decline ratio remaining firm at 1.63:1.
According to Vaishali Parekh, Vice President of Technical Research at Prabhudas Lilladher, the Nifty 50 index faces a crucial hurdle at the 22,450 level. However, she believes that the market bias could improve once the index surpasses this level, particularly towards the 22,500-22,550 zone.
Parekh recommended three stocks for trading on Wednesday: COLPAL, GNFC, and . She provided specific buy recommendations for these stocks, including respective target prices and stop-loss levels.
In her outlook for Nifty today, Parekh pointed out that the index has been hovering near the 22400 zone for the last two sessions, with resistance near 22450 levels. For the bias to improve further, she believes the index needs to push past the 22500-22550 zone to establish conviction and anticipate further gains in the coming days.
Parekh also noted that the Bank Nifty has been rangebound for the last three sessions, with the 48,300 level acting as a resistance zone and the 47,900 level providing support. She highlighted that a decisive breach above 48,400 levels would indicate improved sentiment and could lead to further rise towards the 49,400 level.
Overall, the Indian stock market remains in an optimistic mood, with investors encouraged by positive global cues. However, analysts caution that certain resistance levels need to be overcome for the market to sustain its momentum and continue its upward trajectory.
