Nifty 50 slides below 24,000 as Kotak Securities spots three buys
India's benchmark index fell for a fourth straight session below a critical technical threshold, but analysts see short-term upside in select individual names.
The Nifty 50 opened 0.4% lower at 23,905 on Thursday, extending a four-session losing streak by dropping below a critical 24,000-24,100 support zone. The index fell 0.5% to an intraday low of 23,876, continuing a technical slide that began when it breached its 20-day simple moving average in the prior session. The formation of a long bearish candle on daily charts points to sustained selling pressure from current levels.
Amol Athawale, VP of Technical Research at Kotak Securities, cautioned that market sentiment is likely to remain fragile as long as the benchmark trades below 24,100. He projects the ongoing correction could next target the 50-day simple moving average at 23,850. If that level fails, additional downside could drag the index down to the 23,700 to 23,750 range. A rebound would only materialize if the index reclaims 24,100, which could push it back toward 24,200 to 24,250.
While the broader index faces headwinds, Athawale highlighted three individual equities exhibiting technical strength that traders might consider for one- to two-week positions. These selections are predicated on specific chart patterns and support levels that diverge from the benchmark's weakness.
Mahindra and Mahindra is consolidating within a symmetrical triangle formation, a structure underpinned by a series of higher lows that suggests underlying demand. "For traders, the key level to monitor is ₹3,060, which acts as immediate support. If the stock holds above this level, the positive trend structure would remain intact," Athawale said. "A decisive move beyond the consolidation range may trigger further upside, with the stock likely to head toward the ₹3,390 level in the coming sessions."
Marico is demonstrating a bullish continuation pattern on weekly charts following a brief consolidation after a strong rally. The stock's chart formation suggests upward momentum is building once again. "As long as the stock is trading above ₹830, the bullish texture is likely to continue. Above which, the stock could move up to ₹920," Athawale said.
Apollo Hospitals Enterprise is trending higher within a rising channel, having recently recovered from its short-term moving averages. The stock's relative strength index also signals room for further gains. "For the next few trading sessions, ₹8,600 could be the trend decider level for the bulls, if it sustains above the same, we can expect further uptrend towards ₹9,550," Athawale said.
For market participants, the divergence between the struggling benchmark and these selective technical setups underscores a stock-pickers' environment where individual support levels matter more than broad index direction.
