stock market trends for June 11, including the Nifty 50 trade setup, expert stock picks, and detailed analysis of market performance. Discover key insights and strategic advice to navigate the stock market effectively.
Introduction
On June 11, the Indian stock market faced declines influenced by weak global cues from hotter-than-expected US job data. The Nifty 50 index dropped by 30 points to 23,259, while the BSE Sensex fell by 203 points to 76,490. Despite the broader market indices ending positively, the advance-decline ratio remained strong at 1.92:1.
Experts highlighted significant resistance and support levels for Nifty 50 and Bank Nifty, suggesting potential short-term corrections. Sumeet Bagadia recommended buying Zensar Technologies and VA Tech Wabag, while Ganesh Dongre suggested Punjab National Bank, AWL, and Larsen & Toubro. Investors are advised to monitor key levels and consider these stock picks for informed trading decisions.
Market Overview
Global Cues and Indian Market Performance
On Monday, the Indian stock market was influenced by weak global cues following hotter-than-expected US job data. The Nifty 50 index dropped by 30 points, closing at 23,259, while the BSE Sensex fell by 203 points to end at 76,490. The Bank Nifty index also edged down, finishing 22 points lower at 49,780. Despite these declines, broader market indices finished positively, with an advance-decline ratio of 1.92:1, indicating a higher number of advancing stocks compared to declining ones.
Trade Setup for Tuesday
Nifty 50 Outlook
Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, shared insights on the Nifty 50. He noted that the Nifty is encountering resistance around 23,250, marked by a bearish hanging man candlestick pattern from last week. Although the market has hit all-time highs, it has struggled to maintain upward momentum. The near-term trend remains positive, but with significant resistance around 23,300, there is a high likelihood of a downward correction. Immediate support is identified at 23,100 levels.
Bank Nifty Outlook
Hrishikesh Yedve, AVP Technical and Derivatives Research at Asit C Mehta, discussed the Bank Nifty index’s performance. He observed that the index started flat and showed strength in the first half of the session, but profit booking in the second half led to a flat to negative close at 49,781. On a weekly scale, the index formed a hanging man candlestick pattern, indicating resistance between 51,130 and 51,140. Immediate support is around 49,000, with further support at 48,580, aligning with the 34-day Exponential Moving Average (DEMA).
Expert Stock Picks for Tuesday
Sumeet Bagadia’s Recommendations
1. Zensar Technologies
- Buy at: ₹688.40
- Target: ₹730
- Stop Loss: ₹665
Zensar Technologies has shown a strong breakout from a consolidation phase, forming a Bullish Engulfing Pattern with increased trading volumes, indicating strong bullish sentiment.
2. VA Tech Wabag
- Buy at: ₹1153.35
- Target: ₹1222
- Stop Loss: ₹1111
VA Tech Wabag is trading at an all-time high, supported by significant bullish momentum and substantial trading volumes. The breakout above ₹1100 suggests continued upward potential.
Ganesh Dongre’s Recommendations
3. Punjab National Bank (PNB)
- Buy at: ₹126
- Target: ₹135
- Stop Loss: ₹120
PNB has strong support around ₹120 and has formed a reversal pattern at ₹126. This suggests a potential rally towards its next resistance level at ₹135.
4. AWL
- Buy at: ₹345
- Target: ₹365
- Stop Loss: ₹338
AWL has shown a bullish reversal pattern and is expected to bounce towards ₹365 in the short term, holding support at ₹338.
5. Larsen & Toubro (LT)
- Buy at: ₹3542
- Target: ₹3650
- Stop Loss: ₹3480
LT has significant support at ₹3480 and has shown a reversal pattern at ₹3542, indicating potential to reach its next resistance level at ₹3650.
Conclusion
The performance of the Indian stock market on Monday reflects a cautious sentiment influenced by global cues. Despite recent highs, indices like Nifty and Bank Nifty face significant resistance levels, indicating possible short-term corrections. Investors should monitor key support and resistance levels and consider the expert-recommended stock picks, which exhibit promising technical patterns and bullish momentum.
The content provided on InsightMediaHub.com is for informational purposes only and does not constitute financial, investment, or other professional advice. While we strive to ensure the accuracy and reliability of the information presented, we do not guarantee its completeness or timeliness. Readers are encouraged to conduct their own research and consult with a qualified financial advisor before making any investment decisions. InsightMediaHub.com, its authors, and affiliates are not liable for any losses or damages arising from the use of the information provided on this site. Use of this website constitutes acceptance of our terms and conditions.