Indian equity benchmarks extended their losing streak for the third consecutive session on Friday, November 7, reflecting cautious investor sentiment driven by weak global market signals and mixed corporate earnings.
Market Performance Highlights
The Sensex declined by 95 points, or 0.11%, closing at 83,216.28, while the Nifty 50 dropped 17 points, or 0.07%, settling at 25,492.30. Both indices had experienced steeper declines earlier in the trading session, falling nearly 1% at one point before staging a significant recovery to minimize losses.
Broader market indices showed divergent trends with the BSE Midcap index gaining 0.25%, while the Smallcap index ended the day virtually unchanged, closing flat.
Factors Influencing Market Sentiment
Market analysts observed that Indian equities are currently experiencing a "sell-on-rise" pattern as investors react to mixed second-quarter earnings results. The cautious approach among market participants is further amplified by ongoing global uncertainties.
Investors are closely monitoring developments regarding the potential India-US trade agreement and seeking resolution to the US government shutdown that began on October 1, which has now become the longest in American history.
Expert Outlook and Trading Strategy
Sumeet Bagadia, Executive Director at Choice Broking, noted that market sentiment has shown improvement as the Nifty 50 index demonstrated strong recovery after approaching its 50-day exponential moving average support level at 25,320.
"However, the index would need to break above 25,750 for further improvement in Dalal Street bias. On breaking above 25,750 levels, the 50-stock index would head for the short term targets of 26,100 and 26,500 respectively," Bagadia stated.
Stock Recommendations for Monday
Bagadia has recommended three stocks for purchase on Monday, November 10:
Coastal Corporation: Buy at ₹41.47 | Target Price: ₹44.7 | Stop Loss: ₹40
Hardwyn India: Buy at ₹15.76 | Target Price: ₹17 | Stop Loss: ₹15.15
Lancor Holdings: Buy at ₹31.7 | Target Price: ₹34 | Stop Loss: ₹30.5
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
