After a strong rally last week, the Indian stock market opened slightly lower on Monday. Caution has increased among investors worldwide ahead of the Federal Reserve meeting on December 9-10, as speculation about a potential interest rate cut has intensified. Changes in global monetary policies, discussions related to import tariffs, and ongoing tensions in the international political environment have weakened market sentiment.
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Sensex and Nifty Witness Sharp Decline
Around 1:25 PM, the Indian stock market witnessed a sharp decline. During this time, the Sensex fell by more than 465 points to 85,246, while the Nifty slipped 183 points to trade around 26,003. According to analysts, the fundamentals of the domestic economy are still strong, but the impact of global cues is clearly visible on the market ahead of the Christmas rally. Investors are hoping for some positive progress in international decisions regarding tariffs.
Partial Relief from RBI Decisions
Experts say that the recent interest rate cuts by the Reserve Bank of India have supported the market, but global events have dampened the enthusiasm. Due to the current uncertainty, traders remain cautious about short-term trends and are currently refraining from making large investment decisions.
HDFC Securities Initiates Coverage on Two Stocks
Amidst market volatility, Vinay Rajani, a senior analyst at HDFC Securities, has initiated new coverage on two stocks for the short term. Based on technical charts, both stocks are showing strong upward momentum, and he has advised investors to buy.
Buy Recommendation on Kotak Bank
According to the technical setup, Kotak Bank’s share price has broken out of its recent consolidation zone. The stock has seen a surge after receiving support from the demand zone. The stock is trading above all major moving averages, indicating a bullish trend across multiple timeframes. Furthermore, the daily RSI remains consistently above 50, and the MACD is also above the signal line, reinforcing the stock’s upward momentum. The expert has suggested a target price of ₹2340 and a stop-loss of ₹1990.
Uptrend continues in Marico Limited
The second stock is Marico Limited, which has also received a buy recommendation. After a recent correction, the stock has resumed its uptrend. Marico shares are trading above key moving averages, indicating a sustained bullish trend over the long term. Oscillators and indicators on the positional chart are giving strong signals. The expert has given a target price of ₹790 and a stop-loss of ₹700 for this stock.