Definitely a very dull Friday and a weak end to the week as well. But how can you help our viewers invest smartly and maybe even brighten up their Friday—or lift their mood for the weekend? Before we get to your picks, I’d like your take on the current market decline and the sluggishness we’re seeing. The Nifty is almost at the day’s low, with 512 declines and only 200 advances. So, it’s clearly not a great day for the markets. The Sensex is down more than 640 points, and the Bank Nifty is also down over 500 points. What’s your view on this fall, and what are the key support levels you’re watching for both Nifty and Bank Nifty?
Sneha Seth: Yes, as you can see, the market has been correcting, especially after facing resistance near the 24,200–24,250 zone. From that level, we started witnessing selling pressure.
Today, the selling has even pushed the Nifty below its support zone of 24,900, which is certainly not a healthy sign.
If we look at the options data, we’re seeing call writers shift their positions toward the 25,000 strike, and fresh writing is even emerging at the 24,900 strike. That’s a sign of some caution.
However, we can still be hopeful—the second half of the session will be crucial. While the India VIX has surged nearly 6%, which shows rising fear, we have to remember that VIX was already at a lower level. So, some spike in implied volatility was likely.
Even though the market broke support levels today, if we see a closing above 24,900–24,950, then a rebound is possible. Looking at the banking index, despite today’s correction, it’s hovering around a rising trendline support near the 56,500 zone. So, if we get a positive closing, that would be encouraging and could signal a reversal.
But if the Nifty closes below 24,800, that would be a negative signal.
That said, individual stocks are still showing opportunities on both the long and short sides. So, traders should focus on stock-specific trades rather than the index until there’s more clarity.
There are currently two pain points I want to bring up. First, the internet is buzzing with talk about Saiyaara, and second, the market is at the day’s lowest point. Amid this, some stocks—particularly in pharma—are doing well. What’s your view on that space? I’d especially like to ask you about Pfizer and Dr. Reddy’s. Also, have you watched Saiyaara? It’s being called a Gen Z romantic story, and there’s quite a bit of buzz around it.
Sneha Seth: No, I haven’t seen Saiyaara yet, but I’d love to! There’s definitely a lot of hype, and that has piqued my interest.
Coming back to the market—yes, pharma is offering some support. During these types of corrections, the pharma sector tends to perform well.
My top trading pick for the day is Dr. Reddy’s. The stock has faced some selling pressure, but it’s taking support near the 20-day moving average and the 89 EMA on the daily chart, which is technically encouraging. From current levels, one can consider going long. A strict stop loss should be placed at ₹1,254, and the target would be around ₹1,324.
In the banking space, I would recommend a sell call on IndusInd Bank. The stock has been range-bound and consolidating at higher levels. Today, we’re seeing decent selling pressure—down around 2.5%. It has broken key support zones, and follow-up selling looks likely. So I would suggest a sell with a strict stop loss, and the target is expected around ₹797.
So is IndusInd Bank your main trading idea for the day, or do you have more to share?
Sneha Seth: Yes, IndusInd Bank is one of my trading calls—a sell recommendation. The other one, as I mentioned earlier, is Dr. Reddy’s, which is a buy call. So, these are my two key ideas for today.
