The Indian stock market continued its bullish trend on Friday as it closed the week and the month of August at the same time, with both the Nifty 50 and Sensex reaching new record highs. The Nifty 50 closed at 25,235.90, up 0.33% or 83.95 points while the BSE Sensex ended at 82,365.77, gaining 0.28% or 231.16 points. These indices are likely to maintain their upward momentum, having traded above their previous higher highs of 25,078 and 82,120, respectively.
Nifty 50 Index: Investing.com
The Nifty Bank index also showed strength, closing at 51,351.00, up 0.39% or 198.25 points. Weekly gains for the Nifty 50 and Sensex were impressive at 1.66% or 412.75 points and 1.58% or 1,279.56 points, respectively. Monthly gains were more modest, with Nifty 50 up 1.14% or 284.75 points and Sensex gaining 0.76% or 624 points
Among the top stocks to watch out for this week is Tata Consumer Product Ltd, currently priced at Rs 1200, which is showing bearish signals on the charts. The stock is forming a double-top pattern after facing rejection at the recent high of Rs 1253. Technical analysis suggests an immediate target of around Rs 1160, which coincides with a horizontal support level. If this support breaks, the next target could be Rs 1000, which aligns with the low of the descending trendline support.
HDFC Bank closed at Rs 1636.90 on Friday, experiencing a slight drop of 0.10%. The stock’s chart reveals a gap that remains to be filled, similar to previous instances where price action moved upwards to close such gaps. This gap now acts as a new resistance and target before the last high of Rs 1794. An ascending trendline below provides support for the stock in case it pulls back.
Tech Mahindra closed at Rs 1636 on Friday, down 0.66%. Despite this minor setback, the stock maintains a bullish outlook. If a retracement occurs, the price may find support at the broken-out resistance zone along the ascending trendline before potentially continuing its upward trend.
Wipro, currently trading at Rs 538.40, is displaying bullish momentum. The stock is currently filling a gap that ranges from Rs 530 to Rs 556. If the bullish trend continues, the next target could be the recent high of Rs 579. However, if bearish pressure increases, the price could potentially drop to the ascending trendline support.
LTIM is trading at Rs 6156.05 and showing bullish signals. The stock has fully traded a fair value gap and is now attempting to create a new high beyond the previous higher high of Rs 6442. This suggests potential for further upward movement in the near term.
While the overall trend appears bullish, individual stocks show varying patterns.
