Market Expert Recommends SBI, Britannia, and Biocon as Indices Face Key Resistance Levels

Indian equity benchmarks ended the week positively, with the Nifty gaining nearly 2 percent to close at 23,053 and the Bank Nifty advancing 0.75 percent to settle at 54,686. While domestic equities recovered, Brent crude oil remained high between $110 and $115 per barrel, keeping global uncertainties and inflation in focus.

Market Outlook

Ganesh Dongre, AVP of Equity Research at Anand Rathi, notes that both the Nifty 50 and Bank Nifty remain in a cautious phase. A sustained weekly close above the 23,200 to 23,400 range would improve the near-term technical outlook for the Nifty 50 and could pave the way toward 23,500 to 23,800. For the Bank Nifty, a decisive breakout above the 56,400 to 56,500 resistance zone is needed to strengthen its technical structure. Traders are advised to watch key support levels, including 22,500 to 22,800 for the Nifty and 53,000 for the Bank Nifty, alongside Brent crude prices.

Stock Recommendations

For trading on Monday, Ganesh Dongre recommends three specific shares. Investors can buy SBI at ₹950 to ₹960, with a target of ₹995 and a stop-loss at ₹930. Britannia shares are recommended for purchase between ₹4,620 and ₹4,640, with a target of ₹4,720 and a stop-loss at ₹4,580. Finally, Biocon can be bought at ₹345 to ₹350, targeting ₹370 with a stop-loss of ₹330.

Context

Technical analysis in stock markets relies on historical price movements, support levels, and indicators like the 200-day exponential moving average to gauge future direction. Experts regularly issue trading calls based on these charts to help market participants navigate short-term volatility.