Indian headline indices ended with sharp cuts on Tuesday witnessing selling pressure across the board a day after Donald Trump took charge as the US President. Banks, auto, IT and realty stocks were major laggards. While the S&P BSE Sensex settled at 75,838.36, down by 1,235.08 points or 1.60%, the broader Nifty closed at 23,024.65, lower by 320.10 points or 1.37%.
Commenting on the day’s action, Vatsal Bhuva, Technical Analyst at LKP Securities said that he sees Nifty facing selling pressure near its 14-day EMA, closing with a long bearish candlestick just above the key support of 23,000 and below its consolidation range.
“The RSI, currently at 36 and in bearish crossover, indicates a bearish trend, suggesting room for further downside before entering the oversold zone and solidifying bearish dominance. Selling pressure continues to limit recoveries, and the follow-up move will be key to confirming further downside. A close below 23,000 could push the index toward pre-election levels of 22,500, with immediate resistance at 23,300. Until Nifty closes above 23,500, a sell-on-rise strategy is recommended,” Bhuva said.
Here are 4 stock recommendations for Wednesday:
