Anand Rathi Strategist Recommends 3 Stocks to Buy This Week

Nifty 50 Shows Resilience Despite Global Uncertainty

The Nifty 50 index has been on a rollercoaster ride recently. Over the past few weeks, it experienced a strong recovery fueled by Foreign Institutional Investors (FIIs) who poured nearly ₹25,000 crore into the Indian cash market. However, last week saw a dip as Institutional Investors (IIs) withdrew ₹11,591 crore from Indian equities, tempering the net FII inflow for May to ₹13,835 crore. This shift is largely attributed to growing global uncertainties, with US President Donald Trump’s announcement of a potential 50% tariff on European Union goods adding to the unease.

Despite these headwinds, the Nifty 50 continues to hold a bullish outlook. Ganesh Dongre, Senior Manager — Technical Research at Anand Rathi, suggests a ‘buy-on-dips’ strategy remains favorable. For the current week, he expects the Nifty 50 to trade within a range of 24,500–25,200, with 24,500 acting as a crucial support level. A close above this level could propel the index towards 25,200, while a slide below 24,500 could trigger a downward movement towards 24,000.

Bank Nifty Also Shows Range-Bound Movement

Bank Nifty has mirrored the Nifty 50’s trend, oscillating between 53,000 and 56,000 throughout the week. Immediate support lies in the 52,500–53,000 zone, with resistance capped at 56,000.

Positive Outlook for Long-Term Investors

Both Nifty 50 and Bank Nifty have closed above their crucial monthly support levels – 23,500 for Nifty 50 and 52,000 for Bank Nifty – signifying underlying strength. Long-term support levels remain key reference points for investors, with 21,700 for Nifty 50 and 50,500 for Bank Nifty serving as potential entry points amidst global volatility.

Ganesh Dongre’s Stock Picks for the Week

Buy ICICI Prudential Life Insurance Company Ltd

Target Price: ₹670
Stop Loss: ₹620
Buy price: ₹640

Buy Tata Consultancy Services Ltd (TCS)

Target Price: ₹3,600
Stop Loss: ₹3,475
Buy price: ₹3,508

Buy Gail (India) Ltd

Target Price: ₹204
Stop Loss: ₹184
Buy price: ₹191