Vinay Rajani of HDFC Sec suggests L&T Finance, Sandur Manganese shares to buy in near-term

Stock market today: Indian equities witnessed broad-based buying in the morning session on Monday, with gains across large-, mid-, and small-cap stocks. The benchmark indices surged by more than 1%, driven by positive global cues and improved investor sentiment.

The Sensex rallied nearly 1,000 points to hit an intraday high of 76,387, while the Nifty 50 climbed more than 1% to touch 23,996 during the session. The broader market also participated in the rally, with the BSE 150 Midcap and BSE 250 Smallcap indices advancing around 1% each.

The sharp upmove added nearly ₹5 lakh crore to investor wealth, as the combined market capitalisation of BSE-listed companies increased to about ₹468 lakh crore from approximately ₹463 lakh crore in the previous trading session.

Market Views - Vinay Rajani, Senior Technical and Derivative Analyst, HDFC Securities

Nifty 50 Outlook

Nifty 50 has broken out of the 23,400–23,800 consolidation band and is sustaining above that range, now approaching its 50day exponential moving average near 24,000; a clean breach and hold above 24,000 would strengthen the near-term bullish case and validate upside momentum.

Domestic underperformance versus global equities has been driven by FII outflows, rupee weakness and elevated crude prices, but positive geopolitical developments over the weekend have eased risk-off sentiment and are reflected in today’s market strength. Immediate support is the prior resistance at 23,800, with tactical support/stoploss around 23,500; near resistance sits at 24,000 (50DEMA), followed by 24,350 and 24,600 — a decisive break above 24,600 would likely shift the positional trend to bullish.

Ratesensitive sectors such as banking, financials, autos and realty are showing early bullish traction and could lead the next leg higher if momentum broadens. For short-term traders, consider buying on a pullback to 23,800–23,500 with a stop just below 23,500 and targets near 24,000–24,350; positional traders should wait for confirmation above 24,000–24,350 before increasing exposure. Monitor FII flows, the rupee and crude prices closely, and use rising market breadth and volumes to validate the breakout.

2 stocks to buy in the near-term

Buy L&T Finance at ₹279| Stop-loss at ₹267| Target at ₹292

L&T Finance share price has formed a bullish “hammer” candlestick pattern at its 200 DEMA and gap support. The stock is trading above all medium- to long-term moving averages. Indicators and oscillators have been showing strength on the short-term charts.

Buy Sandur Manganese & Iron Ores at ₹235| Stop-loss at ₹206| Target at ₹271

Sandur Manganese share price has broken out of a bullish inverted head-and-shoulders pattern on the weekly chart. Price rises are accompanied by increased volumes. The weekly RSI has been sustained above 50. The weekly MACD is above the equilibrium and signal lines. The stock price is above the important moving averages' resistance.

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