Stock market today: The Indian share market opened downside on Monday as investors looked cautious after the latest Hindenburg Research report alleging SEBI chief and her husband for offshore investment to benefit from Adani group shares. The Nifty 50 index corrected around 85 points, whereas the BSE Sensex shed nearly 300 points in early morning deals on Monday. The Bank Nifty index lost over 200 points during Monday morning session.
According to stock market experts, the market has opened with a downside gap, but the frontline indices are sustaining above their respective crucial support, and the correction on Dalal Street is minimal. So, it is more profit-booking than a fall in the Hindenburg Research-induced stock market. They advised intraday traders to maintain a stock-specific strategy and suggested looking at buying opportunities on every dip. They said quality stocks with solid fundamentals in segments like pharma, consumer durables and banking should be preferred over other stocks. They advised intraday traders and medium to long-term investors to follow this stock market strategy for wealth creation.
Strategy after Hindenburg Research report?
Unveiling stock market strategy after Hindenburg’s latest news on SEBI chief, Saurabh Jain, Vice President — Research at SMC Global Securities, said, “This correction should not be linked with the Hindenburg’s latest news alleging SEBI chief as the majority of the frontline indices are sustaining above their crucial support. So, it is normal to book profits after successive rallies. So, investors are advised to maintain a buy-on-dips strategy and look at the quality stocks with strong fundamentals.”
Echoing with Saurabh Jain’s views, Avinash Gorakshkar, Head of Research at Profitmart Securities, said, “It’s better to maintain a stock-specific approach and look at those companies that have delivered strong quarterly results in the previous two to three quarters. These stocks are expected to bounce back strongly on trend reversal.”
However, both experts said one should maintain a strict stop loss while taking any new position in the current Indian stock market.
Stock market today: Important levels to watch
“The Nifty 50 index is maintaining the strong support zone near 24,000 whereas the Bank nifty is sustaining above the crucial 100-DEMA support of 49,500,” said Vaishali Parekh, Vice President — Technical Research at Prabhudas Lilladher.
Regarding shares to buy today, Saurabh Jain of SMC Global Securities said, “One can look at buying shares of Canara Bank, KEC International, NHPC, United Spirits, Heritage Foods, and Natco Pharma.”
Disclaimer: 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.
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