Indian market recorded gains for the second consecutive day in a row on Apil 7 amid positive global cues and a dovish policy outlook from the Reserve Bank of India (RBI).
The Sensex rallied 460 points to close at 49,661, while the Nifty50 ended 135 points higher to 14,819 on Wednesday.
Sectorally, buying was seen in auto, banks, telecom, metals, and consumer discretionary stocks, while the power index saw mild profit-taking.
Nifty50 is expected to face some resistance around 14900-15000 levels while stock-specific action in the small & midcaps is likely to continue, suggest experts.
“Nifty is expected to witness range-bound movement for the near term as we remain extremely positive over the medium term. Immediate support is seen only at 14400 and buying on dips is advisable. Broader market health is neutral to positive with lack of momentum,” Sahaj Agrawal, Head of Research- Derivatives at Kotak Securities told Moneycontrol.
“Action is seen in the midcap space which is expected to continue. We see value in select frontline BFSI, Capital goods, and Pharma stocks while Metals and Realty have zoomed past their buying range,” he said.
Graphite India gained over 11 percent with strong volumes, and KPIT Technologies rose more than 15 percent on Wednesday were some of the stock in focus.
Here is what experts said about these stocks.Expert: Ruchit Jain, CMT - Technical and Derivatives - Angel Broking
Graphite India - Hold
The stock is in an uptrend and the price upmove was supported by good volumes. Recently, we saw some time-wise correction wherein the price traded in a range for a month and relieved the overbought momentum setups.
The stock now gas again resumed its uptrend and hence, traders are advised to continue to ride this trend.
The immediate support for the stock is placed around Rs 600 and then towards Rs 575, whereas resistance is seen around Rs 700 and then towards Rs 740.
KPIT Tech - Hold
The stock has been forming a ‘Higher Top Higher Bottom’ structure and is in an uptrend. In the last month, the price upmove has been supported with good volumes and the 20-day exponential moving average is acting as a support.
The ‘RSI oscillator’ hints at a positive momentum and hence, traders should continue to ride this trend. The support for the stocks is placed around Rs 170. Since the stock is in uncharted territory, one should follow a trailing stop loss method and continue to hold.Disclaimer: The views and investment tips expressed by experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.