The Indian stock market started the year on an upbeat note, with the Nifty 50 closing at a fresh all‑time high and the Sensex also posting solid gains.
Market snapshot
On Friday the Sensex rose 573 points (0.67%) to finish at 85,762, while the Nifty 50 hit an intraday high of 26,340 before settling at a record close of 26,328.55, up 182 points (0.70%). Mid‑cap and small‑cap indices also rose, showing broad‑based buying across sectors.
Nifty outlook
The Nifty broke through the 26,200 resistance level and stayed above the previous high of 26,325, confirming a bullish trend. The next resistance zone is around 26,450‑26,500, while support is seen at 26,150‑26,200. The RSI is at 62, indicating growing momentum, and volatility is low.
As long as the index remains above 26,200, a cautious “buy on dips” approach can work, with stop‑loss orders placed near 26,150.
Bank Nifty outlook
The Bank Nifty also surged, reaching a new high of 60,203. Immediate resistance lies in the 60,400‑60,500 range, and support is around 59,800‑59,900. The RSI is at 68, showing strong upward momentum.
Traders are advised to keep a bullish bias and consider buying near the support levels, using tight stop‑losses to manage risk.
Five breakout stocks to watch
- JBM Auto: Current price ₹666.60. Target ₹720. Stop‑loss ₹634. The stock is above its key moving averages, indicating an uptrend.
- Anant Raj: Current price ₹584.05. Target ₹640. Stop‑loss ₹554. Recent bottom formation and a breakout above key averages suggest strength.
- CESC: Current price ₹175.37. Target ₹192. Stop‑loss ₹167. The stock broke out sharply after holding a trendline support.
- Elecon Engineering: Current price ₹501. Target ₹550. Stop‑loss ₹478. After a four‑day sideways range, the stock showed a breakout with improving momentum.
- UNO Minda: Current price ₹1,321.20. Target ₹1,450. Stop‑loss ₹1,265. The stock is forming higher highs and higher lows, staying above major averages.
Disclaimer
These observations are for educational purposes only. They reflect the views of individual analysts and are not financial advice. Always do your own research or consult a certified professional before making any investment decisions.