Buy or sell stocks: The Indian stock market witnessed strong gains towards the end of the trading session on Monday, March 16, led by banking, financial, auto, and FMCG stocks, despite ongoing geopolitical concerns.
The closed 939 points, or 1.26%, higher at 75,502.85, while the Nifty 50 ended at 23,408.80, up 258 points, or 1.11%.
From its intraday low of 73,949.76, the 30-share index rebounded by 1,553 points, while the Nifty 50 surged over 450 points, or nearly 2%, from its day’s low of 22,955.25.
Stock market today
Nifty 50
On Monday, the Indian benchmark index opened on a flat note at 23,116.10. During the first half of the session, the index declined and touched an intraday low of 22,955.25. In the second half, however, the market witnessed strong buying momentum, which led to a sharp recovery. The index surged by 546.75 points from the day’s low and registered an intraday high of 23,502.00. It eventually closed the session at 23,408.80, gaining 257.70 points or 1.11% compared to the previous close.
Speaking on the Nifty 50 outlook, Sumeet Bagadia, Executive Director at Choice Broking, said, “From a technical perspective, the 23,250–23,300 range is expected to act as a crucial support zone for the index. On the upside, Nifty may face immediate resistance around the 23,550-23,600 zone. The momentum indicator RSI is currently recovering from the oversold territory and is positioned at 29.68. Although the indicator is showing signs of improvement, it still remains in the oversold zone. A sustained recovery above this level will be required to confirm an improvement in the index’s strength.”
Bagadia further recommended traders to remain cautious near the key support and resistance levels mentioned above, amid ongoing geopolitical tensions. “It is recommended to avoid initiating fresh directional trades until a decisive breakout occurs on either side,” Bagadia added.
Bank Nifty
Bank Nifty opened the session on a flat note at 53,721.50 and declined to an intraday low of 53,258.15 during the early part of the session. The index later witnessed strong buying interest and recovered sharply. From the day’s low, Bank Nifty rallied by 1,406 points to register an intraday high of 54,664.15. The index eventually closed at 54,413.40, recording a gain of 655.55 points or 1.22% for the day.
Meanwhile, on the Bank Nifty outlook, Bagadia added, “From a technical standpoint, the range of 54,100-54,200 will act as an immediate support zone for Bank Nifty index, whereas, on the upside, the 54,700-54,800 range is likely to act as an immediate resistance zone. The momentum indicator RSI is currently recovering from the oversold territory and stands at 28.24. However, it remains within the oversold zone, and a sustained recovery from this region will be necessary to confirm strengthening momentum in the index.”
He further suggested that traders remain cautious around the key levels mentioned above and wait for a clear breakout on either side before initiating fresh directional positions.
Sumeet Bagadia’s stocks to buy
Sumeet Bagadia recommends five to buy on Tuesday, March 17: Acutaas Chemicals, Aether Industries, Sai Life Sciences, Kirloskar Oil Engines, and CCL Products (India).
1] Acutaas Chemicals: Buy at ₹2165, Target ₹2315, Stop Loss ₹2090
Acutaas Chemicals share price is currently trading at 2165; the stock shows a healthy bullish trend on the daily chart as it stabilises after a recent rally. The price action follows a steady uptrend, consistently forming higher bases above the major moving averages. It is currently maintaining its position above the 20, 50, and 100-day EMAs, which are all trending upward and providing strong structural support. The RSI is currently at 55.04, indicating a neutral to positive momentum that has cooled off from overbought levels, offering room for a fresh move. This consolidation suggests a preparation for a trend continuation toward the target of 2315. A stop loss at 2090 is well-placed just below the 20-day EMA to protect against any short-term trend violation.
2] Aether Industries: Buy at ₹713, Target ₹765, Stop Loss ₹688
Aether Industries is currently trading at 713, exhibiting a classic bullish consolidation pattern on the daily chart, showing strong resilience near its short-term moving averages. The price action recently bounced off the 50-day EMA, suggesting that buyers are stepping in to defend the current trend. It is trading comfortably above the 20, 50, 100, and 200-day EMA lines, indicating a healthy long-term uptrend despite recent volatility. The RSI is currently at 55.77 and curling upward, which signals a steady build-up in momentum without being in the overbought zone. This setup supports a potential move toward the target of 765 as the stock attempts to reclaim its previous swing high. A stop loss at 688 provides effective protection just below the 50-day EMA support cluster.
3] Sai Life Sciences: Buy at ₹976, Target ₹1050, Stop Loss ₹940
Sai Life Sciences share price is currently trading at 976, the stock shows a constructive recovery on the daily chart after a brief retracement from its recent highs. The price action indicates a bullish reversal as the stock finds support near its key averages, forming a potential higher low. It remains positioned above the 20, 50, 100, and 200-day EMAs, maintaining its long-term bullish structural integrity. The RSI is currently at 52.47 and turning upwards, suggesting that selling pressure has subsided and momentum is shifting back toward the buyers. This technical setup favours a move toward the target of 1050 as the stock attempts to reclaim its upward trajectory. A stop loss at 940 is well-placed just below the 50-day EMA to manage downside risk.
4] Kirloskar Oil Engines: Buy at ₹1470, Target ₹1570, Stop Loss ₹1420
Kirloskar Oil Engines share price is currently trading at 1470 and exhibits a strong bullish continuation pattern on the daily chart, characterized by a series of higher highs and higher lows. The price action recently bounced off its short-term support, confirming the strength of the existing uptrend. The stock is trading well above its 20, 50, 100, and 200-day EMAs, with all moving averages sloping upward in a healthy bullish sequence. The RSI is currently at 64.01, suggesting robust buying momentum with further room for growth before hitting overbought territory. This technical setup points toward a move reaching the target of 1570 as it approaches its recent peak. A stop loss at 1420 provides a secure exit point just below the 20-day EMA support level.
5] CCL Products (India): Buy at ₹1043, Target ₹1120, Stop Loss ₹1005
CCL Products (India) share price is trading around 1043 and demonstrating a strong consolidation pattern near its lifetime highs, indicating a healthy absorption of supply. The price action reflects a series of higher troughs, with the stock currently finding support at its 20-day EMA. It remains well-positioned above the 50, 100, and 200-day EMA lines, confirming a robust long-term uptrend. The RSI is currently at 55.93, showing steady momentum with plenty of room for an upward breakout before reaching overbought territory. This technical setup suggests a potential rally toward the upside once it clears the immediate resistance zone. Maintain a strict stop loss at 1005 to protect capital, aiming for a primary target of 1120.
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.