Indian equity markets slipped for a second straight session, mainly because technology shares fell, pushing the Nifty index under an important short‑term support line.
Market snapshot
The benchmark Nifty and its peers closed lower, with IT stocks leading the decline. Financial and auto‑parts stocks also added to the selling pressure. On the hourly chart, the Nifty fell beneath its 21‑day exponential moving average (EMA), a signal that bears are gaining strength.
What the charts are saying
Technical analyst Rupak De notes that dropping below the 21‑EMA usually means more bearish bets after a brief sideways spell. The Relative Strength Index (RSI) crossed into bearish territory and is moving lower, showing weakening momentum.
- Immediate support is around the 26,000 level, which coincides with the 21‑EMA.
- If the index holds above 26,000, a short‑term bounce toward 26,200 is possible.
- A clear break below 26,000 could open the door to further declines.
Two stock ideas for Monday
Buy NBCC (₹122)
- Upside potential: about 11%
- Stop‑loss: ₹114
- Target range: ₹130‑₹135
NBCC broke out sharply, closing at ₹122.06 with a 5% jump. The price is above short‑ and medium‑term moving averages, and the RSI sits near 64, indicating solid but not over‑bought momentum. Higher volume on the breakout confirms buyer interest. The trade looks favorable as long as the stock stays above its channel support.
Buy Dalmia Bharat (₹2,160)
- Upside potential: about 7%
- Stop‑loss: ₹2,070
- Target range: ₹2,280‑₹2,320
Dalmia Bharat rallied to close at ₹2,160.60, forming a strong bullish candle after defending the 200‑day moving average and recapturing short‑term EMAs. The RSI is around 66, showing improving momentum without being over‑bought. A sustained move above the ₹2,180‑₹2,200 resistance could push the price higher.
Disclaimer
These stock ideas are based on technical analysis and are not guaranteed. Always do your own research and consider your risk tolerance before trading.