Charts Indicate Further Upward Movement

Mumbai: In the last session of the week, the benchmark indices continued their positive momentum, with the Sensex rose by 3,400 points. Among sectors, all leading sectoral indices traded in positive territory, but the Realty and Private Bank indices outperformed, Reality 7, Private Banks 6.90 gained.

Technically, during the week, the market successfully surpassed the 20-day and 50-day SMA (Simple Moving Average) zones, which is largely positive. On the weekly charts, a bullish candle was formed, and the market is holding an uptrend continuation formation on both daily and intraday charts, supporting further upward movement from current levels.

Amol Athawale of Kotak Securities, said: “We believe that the short-term market texture is bullish; however, due to temporary overbought conditions, we may see range-bound activity in the near future.”

For traders, the levels of 77,400 and 76,900 would act as key support zones, while resistance areas for the bulls could be found between 79,000 and 79,600. However, if the market dips below 76,900, sentiment could change, prompting traders to consider exiting their long positions.

Vaibhav Vidwani, Research Analyst-Bonanza, said: “The Indian stock market closed on a robust bullish note with the Sensex surging 1,508.91 points (1.96 per cent) to 78,553.20 and the Nifty 50 rising 414.45 points (1.77 per cent) to 23,851.65. Strong buying across key sectors including Banking, Autos, and Pharma, broadly supported the rally. The upside momentum was driven by optimism over a potential bilateral trade agreement between the US and India and hopes of an above-normal monsoon season. Additionally, inflation hitting a five-year low and soft crude oil prices near $61 further bolstered investor sentiment.

The banking sector led the gains, with heavyweights like HDFC Bank, ICICI Bank, Axis Bank, and Kotak Mahindra Bank contributing significantly to the rally ahead of their Q4 earnings due April 19.

STOCK PICKS

Delhivery | TRADE-BUY | CMP: Rs281 | SL: Rs272 | TARGETs: Rs295-Rs305

Delhivery is showing signs of a bullish reversal after consolidating near support levels. The stock has bounced back with increasing volumes and is now attempting to break above a short-term resistance zone. RSI is rising, indicating improving momentum. A sustained move above Rs285 could lead to quick upside toward Rs305. Traders can consider buying with Rs272 as a protective stop loss.

Bajaj Finserv | TRADE-BUY | CMP: Rs2035 | SL: Rs1990 | TARGET: Rs2100 / Rs2150

Bajaj Finserv has registered an all-time high breakout, confirming strong bullish momentum. The stock has surged past previous resistance levels with strong volume support, indicating fresh buying interest. Technical indicators are aligned positively, and the trend remains firmly upward. A breakout above Rs2040 can fuel the next leg of the rally. Ideal for momentum-based buying with defined risk at Rs1990.

(Source: Riyank Arora, technical analyst at Mehta Equities)