The recent conflict in the Middle East between Israel and Iran has led to a decline in the domestic equity benchmark indices, Sensex and Nifty 50, for the second consecutive session. Sensex closed at 81,118.60, down 0.70%, while Nifty 50 closed at 24,718.60, down 0.68%. Bank Nifty ended at 55,527.35, dropping 0.99%.
For the week, Sensex fell by 1.30%, Nifty 50 declined by 1.13%, and Bank Nifty slipped by 1.86%.
Stock Market Analysis
Mehul Kothari, Deputy Vice President of Technical Research at Anand Rathi, highlighted that Nifty 50 saw a significant decline of nearly 600 points from its recent high of 25,200 due to profit booking and rising geopolitical tensions. Kothari advised caution and suggested that a break below 24,450 could lead to a further decline.
He also mentioned that Bank Nifty hit a new high near 57,000 but quickly reversed, ending the week with a 2% loss. Kothari emphasized the importance of a sustained move above 57,000 for a bullish momentum to resume.
Stock Recommendations
Mehul Kothari recommended three stocks to consider buying:
- Tata Steel: Buy at ₹152; Target Price: ₹164; Stop Loss: ₹146
- GMR Airports: Buy at ₹81; Target Price: ₹88; Stop Loss: ₹77
- IDFC First Bank: Buy at ₹70; Target Price: ₹78; Stop Loss: ₹66
Source: Mint
