Indian benchmark indices settled sharply lower on Monday dented by weak global sentiments. Tariff threats, muted earnings and weak US sentiments kept the sentiments cautious among the traders. BSE Sensex tumbled 856.65 points, or 1.14 per cent, to end the session at 74,454.41. NSE's Nifty50 tanked 242.55 points, or 1.06 per cent, to settle at 22,553.35 for the day.
Some buzzing largecap stocks including Jio Financial Services Ltd, Zomato Ltd and Britannia Industries Ltd are likely to remain under the spotlight of traders for the session today. Here is what Jigar S Patel, Technical Research Analyst at Anand Rathi Shares and Stock Brokers has to say about these stocks ahead of Tuesday's trading session:
Jio Financial Services | Buy | Target Price: Rs 265 | Stop Loss: Rs 209
Jio Financial recently found support at the S1 yearly pivot, aligning with a bullish divergence, making it attractive at current levels. This setup suggests potential upside momentum. Traders can consider buying within the Rs 226-230 zone, as technical indicators Favor a rebound. The target for this move is Rs 265, while a stop-loss at Rs 209 on a daily closing basis ensures risk control. The confluence of strong support and bullish divergence increases the probability of a reversal.
Britannia Industries | Caution
Britannia recently broke its critical support at Rs 4,830, signaling weakness, with the daily RSI below 50, which is concerning. This indicates bearish momentum and a lack of strong buying interest. For any fresh buying momentum, Britannia must close above Rs 4,830 on a daily basis to confirm a reversal. Until then, a wait-and-watch approach is advisable, as further downside risk remains. Traders should monitor price action closely for signs of strength before considering entries. A sustained close above Rs 4,830 could trigger renewed bullish sentiment, but until then, caution is warranted.
Zomato | Buy | Target Price: Rs 240 | Stop Loss: Rs 196
Zomato has been trading within the Rs 240-206 range for the past month, indicating a balance between buyers and sellers. A comparison of last 4 week’s price action suggests no significant breakout or breakdown, confirming a lack of initiative activity beyond this range. This signals a well-defined trading zone. Traders can capitalize on this by buying around Rs 210-212, expecting a move toward the Rs 240 target. A stop-loss below Rs 196 on a daily closing basis ensures risk management.