Indian equity markets saw strong gains on Wednesday, driven by easing US-Iran tensions and robust Q4 earnings. Against this backdrop, traders are closely watching select financial stocks, including National Securities Depository Ltd (NSDL), One 97 Communications Ltd (Paytm), and BSE Ltd. Laxmikant Shukla, a Technical Analyst at YES Securities, has provided key insights and trading levels for these stocks ahead of Thursday's session.
One97 Communications (Paytm): Caution Advised
Paytm shares have been consolidating within a tight range of Rs 1,050 to Rs 1,150 over the past seven days. This sideways movement is expected to continue until the stock decisively breaks out of this band. Indicators currently reflect a lack of clear directional momentum, with the daily stochastic showing a bearish crossover, though the daily MACD remains in positive territory. A sustained move above Rs 1,150 is crucial to ignite fresh upward momentum, while a break below the key support at Rs 1,050 could signal the start of a downtrend. Traders should exercise caution.
BSE Ltd: Buy on Dips Strategy
BSE has demonstrated a strong technical breakout, moving decisively above its previous consolidation zone of Rs 3,570–3,600. This former resistance has now transformed into a robust support area, with the stock trading comfortably above all key moving averages. The overall technical outlook suggests a continuation towards new highs, with an immediate upside target set around Rs 4,000. Traders are advised to consider buying opportunities on dips towards the Rs 3,570–3,600 zone. A stop loss should be placed below Rs 3,400 to maintain an attractive risk-reward profile, as the underlying uptrend remains intact.
National Securities Depository (NSDL): Avoid Position
NSDL continues to exhibit a dominant bearish trend, characterized by a consistent pattern of lower highs and lower lows, indicating persistent selling pressure. While a short-term support zone might emerge between Rs 840 and Rs 850, aligning with the 61.8% Fibonacci retracement of its recent pullback, a lack of significant recovery from this level could lead to further downside. The overall sentiment remains cautious. A decisive move above the strong resistance zone of Rs 900 to Rs 920 would be necessary to signal a potential shift in the prevailing bearish trend. Until then, traders are advised to avoid taking positions.
Important Disclaimer
This stock market news is provided for informational purposes only and should not be considered investment advice. Readers are strongly encouraged to consult with a qualified financial advisor before making any investment decisions.