Stock market today: The Indian stock market opened on a positive note on Thursday, 7 May tracking strong global cues amid growing optimism over a possible resolution to the ongoing US-Iran conflict in the Middle East.
The BSE Sensex opened 380.72 points, or 0.49%, higher at 78,339.24, while the gained 67.55 points, or 0.28%, to open at 24,398.50. The Bank Nifty index also advanced 132.95 points, or 0.24%, to 56,114.00 at the opening bell.
Market breadth remained firmly positive, with all 16 major sectoral indices opening in the green. Broader markets also participated in the rally, as the Nifty Smallcap 100 and Nifty Midcap 100 indices rose more than 0.5% each.
Among sectors, gains were led by Nifty Auto, Nifty Media, Nifty Metal, Nifty Pharma, and Nifty IT, while Nifty FMCG, Nifty Realty, and Nifty Private Bank indices witnessed some pressure.
However, volatility in crude oil prices and the ongoing Q4 earnings season kept overall gains in check.
Global crude prices declined sharply in the previous session, with Brent crude falling 7.83% to settle at $101.27 per barrel, before hovering around the $102 mark in early Asian trade on Thursday.
Lower crude prices are viewed positively for India, the world’s third-largest oil importer, as they help ease inflationary pressures, improve macroeconomic stability, and support corporate earnings growth.
Nifty 50 Outlook by Osho Krishan, Sr. Analyst, Technical & Derivatives, Angel One
Tracking supportive global cues, the domestic benchmark Nifty 50 opened on a firm note with a gap-up start. However, the absence of sustained buying interest led to a gradual cooling-off, trimming early gains. In the latter half of the session, improving sentiment driven by perceived progress in US-Iran developments, triggered a sharp rebound. The index recovered over 300 points from intraday lows and ultimately settled above the 24330 zone, registering a solid gain of nearly 1.24% for the day.
From a technical standpoint, the Nifty 50 has emerged from an eight-session consolidation phase, decisively surpassing its 50-day DEMA. The index has also successfully filled the prior bearish gap on the daily chart, signalling a constructive shift in price structure. This development suggests strengthening momentum and indicates potential for a continued upward move in the near term. On the levels front, the 50 DEMA at 24185 is now likely to cushion any short-term weakness, followed by the sacrosanct support at 24000 in the near term. On the flip side, 24570-24600, marked by the confluence of recent swing high close and 100 DEMA, is likely to be seen as the next potential hurdle. A decisive breakout above this range could pave the way for a fresh leg of rally towards the 25000 mark.
Going forward, we remain constructive on the Nifty 50’s momentum and reiterate a buy-on-dips strategy. The broader market continues to offer ample trading opportunities, encouraging a focus on thematic outperformers. Participants should also stay attuned to global developments, as they are likely to act as key catalysts influencing the intermediate market trend.
Stocks To Buy on Thursday- Osho Krishan
On stocks to buy on Thursday, Osho Krishan of Angel One recommended two stocks – Ltd, and Ltd.
Bharat Dynamics Ltd has been trading firmly above its key EMAssince the recent resurgence from the lows of the 1,120 subzone. The prevailing technical structure remains constructive, indicating potential for continued upward momentum. The stock has broken out of a consolidation and appears poised to reclaim its high. Additionally, the confluence of nearby EMAs is expected to provide strong support, effectively cushioning any short-term corrections in the sessions ahead.
Hence, we recommend a BUY in Bharat Dynamics around ₹1,400-1,390 with a Stop Loss of ₹1,315 and a Target of ₹1,520-1,545
Max Financial Services Ltd has witnessed noticeable stability post the recent recovery, with prices retracing above its short-term EMAs and 200 DSMA in the last session, and momentum indicators turning bullish. Recent price action suggests stabilisation at lower levels, indicating emerging buying interest on the daily chart. Furthermore, the 14-day RSI has exhibited a positive crossover and a higher low formation, reinforcing the likelihood of a bullish reversal. This technical setup highlights a favourable risk-reward proposition and suggests potential for a gradual recovery in the near term.
Hence, we recommend a BUY in Max Financial Services around ₹1,640-1,620 with a Stop Loss of ₹1,560 and a Target of ₹1,750-1,760.
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.