Indian stock markets ended the previous week with marginal losses as mixed macro data, a falling rupee, and continued uncertainty over the India-US trade deal kept investor sentiment cautious.
Selling pressure dominated most sessions last week, however, a recovery in the final trading session, driven by value buying and renewed interest from foreign portfolio investors (FPIs)- helped limit the downside, even though benchmarks failed to close in positive territory. The Nifty declined 0.31% to 25,966, while the Sensex slipped 0.40% to 84,929 for the week
The markets have entered this week at a crucial juncture after navigating a volatile stretch marked by persistent pressure and a late recovery.
According to Osho Krishan, Chief Manager - Technical and Derivative Research at Angel One, the benchmark indeices - Sensex and Nifty- showed resilience by defending critical technical levels, keeping hopes of a near-term rebound alive despite broader uncertainty.
Nifty Weekly Outlook
Osho Krishan of Angel One stated that the recovery in the final session helped the index protect the pivotal 50-DEMA, which has emerged as a key technical anchor.
According to Krishan, the weekly chart formed an Inside Bar pattern, signalling restricted movement and the absence of a decisive trend. He cautioned that the index continues to face challenges near the 20 and 50 DEMA levels, even though it has recently crossed above the 20 DEMA. "The index has encountered constraints on making any substantial moves, as evidenced by the Inside Bar formation on the weekly chart," Krishan said, adding that the market is still not fully clear of technical hurdles.
From a support perspective, Osho Krishan of Angel One identified the 25,850-25,800 zone as an important cushion for intermediate declines, while the 25,700 level remains a sacrosanct support that has protected the benchmark over the past two weeks. On the upside, he said a decisive move above 26,050-26,100 would be required to provide meaningful relief to bulls and potentially open the way towards the 26,300-26,325 zone in the coming phase.
Given the current setup, Krishan advised a pragmatic approach. He stressed the importance of tracking key thematic drivers amid sectoral volatility, staying alert to global developments that could act as catalysts, and closely monitoring currency market movements for cues on near-term direction.
Stocks to Buy This Week: Angel One's Technical Picks
Alongside the broader market outlook, Osho Krishan of Angel One also highlighted selective stock opportunities based on technical setups, focusing on counters that are showing signs of reversal from key support zones.
CEAT: According to Krishan noted that CEAT has undergone a pronounced correction recently, bringing the stock closer to its 100 DEMA. In the latest session, the stock witnessed a spurt in both price and volume near this support zone, coinciding with the neckline of a previous breakout. He added that the 14-day RSI has shown a positive crossover, while the MACD is signalling a turnaround, strengthening the bullish setup. Angel One recommends buying CEAT around ₹3,900, with a stop loss at ₹3,650 and a target range of ₹4,200-4,300.
Godrej Consumer Products: Another stock highlighted by Krishan is Godrej Consumer Products. He pointed out that the stock rebounded from the ₹1,120 zone and has crossed above its 200-day SMA, signalling the start of a counter-trend move. Krishan noted that the MACD histogram has moved above the signal line, indicating buying momentum, while EMAs are approaching positive crossovers.
"The technical indicators suggest that the upward momentum is likely to continue in the near future," he stated, recommending buying Godrej Consumer Products around ₹1,170, with a stop loss at ₹1,120 and a target range of ₹1,230-1,250.
Source: Mint
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies. We advise investors to check with certified experts before making any investment decisions.
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