A sector-wise technical outlook points to a broadly positive market trend, with banking, capital goods, realty, consumer durables, healthcare, power and auto sectors showing bullish setups. The brokerage recommends a buy-on-dips strategy across several sectors, while selective caution is advised in FMCG, metals and oil & gas despite their broader technical resilience.
Bullish stocks: RBL Bank, AU Small Finance Bank, Federal Bank, ICICI Bank, IDFC FIRST Bank
The BSE Bank index maintains a bullish primary trend. Hence, the brokerage recommended investors to adopt a strategy of accumulating fundamentally strong stocks near major support areas. Currently, the index is approaching an overhead resistance zone of 66,300-66,500 levels, and any sustainable up move above the same may lead momentum towards 68,000-69,000 levels in the upcoming months. On the flip side, a minor correction towards the crucial support zone of 64,000-63,000-62,000 levels may act as an accumulation opportunity.
Bullish stocks: Bharat Forge, Siemens, AIA Engineering, Thermax, Hindustan Aeronautics, Honeywell Automation India
The benchmark index is in a corrective mode and should adopt a buy-on-dips strategy. The brokerage expects this momentum to extend towards 84,000-85,000 levels, and hence any minor price corrections remain as a buying opportunity. The crucial demand zone to watch is around 75,500-74,000-72,800 levels. As the primary trend remains bullish, these minor corrections can be utilized as accumulation opportunities for quality stocks.
Bullish stocks: Phoenix Mills, Prestige Estates Projects, Godrej Properties, Lodha, DLF
The weekly price action has formed a series of higher tops and bottoms, indicating a short- to medium-term uptrend. Any sustainable close above the “channel’s upper band” (7,000-7,100) may cause a resumption of the prior uptrend. Hence, investors may consider using price corrections to accumulate quality stocks within the sector around the major support zones. On the upside, if the index sustains above 7,100 levels on a weekly closing basis, then it may rally towards 7,400-7,700-7,800 levels in the upcoming months. The short-term corrections towards the 6,600-6,500-6,200 level can be considered as an accumulation zone.
Bullish stocks: Titan Company, Dixon Technologies, Relaxo Footwears, TTK Prestige
As the index has observed a triangular pattern breakout, indicating a resumption of the prior uptrend, the brokerage recommends that traders and investors adopt a buy-on-dips strategy, as the short- and medium-term outlook remains bullish. Hence, any minor price corrections towards 63,500-62,500-61,600 levels remain an accumulation opportunity. The brokerage expects this momentum to gear up towards 66,000-67,000-68,800 levels.
Bullish stocks: Radico Khaitan, Nestlé India, Marico, United Spirits
The index is currently in a downtrend, and a decisive breakout above the resistance zone of 19,100 to 19,300 may signal a trend reversal. Given that the primary trend remains bullish, investors should consider these corrections as opportunities for buying and accumulating assets within the support zones, as per the brokerage. Additionally, any minor dips towards the 18,000, 17,800, or 17,500 levels could be seen as favourable opportunities for traders to buy and accumulate.
The BSE IT Index has delivered a remarkable rebound, turning the technical outlook into a strong short-term recovery phase. While the major 32,500 overhead ceiling remains a critical hurdle for a complete structural trend reversal, the sheer strength of this month's move confirms robust accumulation at lower levels.
Bullish stocks: Aurobindo Pharma, Divi’s Laboratories, Granules India, Gland Pharma, Laurus Labs, Torrent Pharmaceuticals, Zydus Lifesciences
By maintaining its strong upward trajectory and achieving a decisive monthly close above the 50,000 mark (50,797), the structural uptrend remains exceptionally healthy with no signs of technical exhaustion. Axis continues to maintain a high-conviction "buy-on-dips" approach, recommending accumulation on any tactical pullbacks toward the 48,500–49,000 zone for higher targets.
The BSE Power Index has shown high-level resilience, taking a brief breathing spell after its major structural breakout. The combination of price holding near recent peaks and a strong RSI layout suggests that the broader uptrend is simply consolidating before its next leg higher. The brokerage maintained a high-conviction bullish outlook and continues to recommend a "buy-on-dips" approach, viewing any minor consolidation toward the 7,600–7,800 zone as a favourable entry window.
Source: Read the original article on economictimes.indiatimes.com