2 days Ago
The faced a severe downturn on Friday following major economic shocks caused by the US imposing reciprocal tariffs on key global trading partners. High volatility and risk aversion dominated sentiment as traders rushed to reduce exposure amid fears of a potential global trade slowdown. Here are three to buy today, as recommended by Ankush Bajaj: Buy: (current price: 677) MACD is trending up and RSI is rising, indicating bullish momentum on the hourly chart.
RSI: Rising, MACD crossover bullish, 52-week high: 736 Bullish structure forming on the hourly chart; momentum indicators support continued upside. FMCG sector sensitivity to input cost fluctuations and rural demand trends. 677 704– 710 in 2–3 weeks 668 Buy: Tata Consumer (current price: 1,088) : On the hourly chart, the stock has given a rectangle pattern breakout.
It is also trading above multiple EMAs, indicating strength in the current uptrend. RSI: Strong above 60, Volume spike on breakout, 52-week high: 1,152 Rectangle breakout confirms bullish bias; price holding above key short and long-term EMAs suggests sustained momentum. Volatility in input prices and consumer sentiment trends may impact short-term moves.
: 1,088 1,168– 1,180 in 2–3 weeks 1,045 Buy: Colgate-Palmolive (current price: 2,423) On the hourly chart, the stock has broken out of the upper channel of a falling wedge pattern. RSI and MACD are both supporting bullish momentum, indicating potential for further upside. RSI: Above 60, MACD crossover bullish, 52-week high: 2,525+ Falling wedge breakout confirmed; price action and momentum indicators signal strength with potential to test and surpass recent highs.
FMCG sector sensitivity to margin pressures and rural demand volatility. 2,423 2,510– 2,525 in 2–3 weeks : 2,380 Nifty and Nifty Bank Update for 7 April The Indian stock market faced a severe downturn on Friday, 4 April, following a major geopolitical and economic shock. The US' decision to impose reciprocal tariffs on key global trading partners sent ripples across world markets — and India was no exception.
Indian indices opened with a massive gap-down and failed to recover, ending the day sharply lower. Heightened volatility and risk aversion dominated sentiment as traders rushed to reduce exposure amidst fears of a potential global trade slowdown. Sharp sell-off amid global Headwinds The session was marked by intense selling across the board.
The BSE Sensex tumbled by 930.67 points (1.22%), closing at 75,364.
69, reflecting panic-driven selling. The NSE Nifty 50 fared even worse, dropping 345.65 points (1.
49%) to settle at 22,904.45, firmly breaching key psychological support levels. Meanwhile, Bank Nifty showed relative strength, dipping only 94.
65 points (0.18%) to end at 51,502.70, as banking stocks attempted to cushion the blow in an otherwise weak market.
Sectoral trends: Bloodbath in metals and pharma Sectoral performance was overwhelmingly negative, with several indices logging steep losses. The metal sector bore the brunt of the damage, plunging 6.56% as fears of a tariff war hit export-oriented companies.
The pharma index was down 4.03%, weighed by weak global sentiment and increased regulatory uncertainty. Oil & gas stocks also fell sharply by 3.
78%, dragged down by declining crude prices and global growth fears. On the defensive side, select sectors tried to resist the slide. Financial Sservices edged up by 0.
20%, showing signs of selective buying, while FMCG managed a negligible gain of 0.04% as investors sought refuge in consumption-oriented plays. Stock-specific highlights: Metals and energy names hit hard Among the handful of gainers, Tata Consumer rose 1.
57%, showing relative resilience in a risk-off environment. Bajaj Finance and HDFC Bank also managed gains of 1.45% and 1.
25% respectively, as financials benefited from bottom-fishing in quality names. However, the losers' list was long and led by heavyweights from the metals and energy space. Tata Steel crashed 8.
61%, reflecting concerns over export margins and input costs. Hindalco slumped 8.07%, while ONGC dropped 7.
11%, as global sentiment turned decisively risk-averse Indian stock market outlook On the daily chart, Nifty has broken a key trendline, indicating short-term weakness. Additionally, a negative MACD crossover has occurred, and the RSI is falling, further confirming the bearish momentum Technical indicators: Nifty on hourly chart Nifty crashes as expected – What’s next? In Thursday's analysis, we highlighted early signs of weakness in the Nifty index based on technical indicators. On the hourly chart, the relative strength index (RSI) was trading around 38, while the MACD had slipped below the zero line.
These are classic signs of bearish momentum, indicating that the market was vulnerable to a short-term correction. As anticipated, the market reacted sharply today, with Nifty correcting by more than 345 points. This sharp fall validated our previous caution and demonstrated the importance of paying attention to technical signals.
Currently, Nifty is trading around 22,900, a level that coincides with the 50% Fibonacci retracement from the recent range of 23,860 to 22,000. Such levels often act as strong support zones. Therefore, 22,900 becomes a key level to watch.
If the index holds above this support, we may see a temporary stabilization or bounce. However, if it slips below 22,900, the next immediate target could be around 22,690. Another critical observation is that the RSI has dropped to 25, placing the market in an oversold zone.
Additionally, we are seeing a bullish RSI divergence – while the index has made a new low, the RSI has made a higher low. This is a subtle but important sign of potential short-term reversal or pause in the downtrend..
