Stock Market Today: Gift Nifty Hints Gap-Down Start; 8-Day Stocks to Buy on Monday, 31 August
The Indian stock market is poised for a gap-down opening on Monday, 31 August, as hinted by Gift Nifty. Early indications suggest that the benchmark indices may face selling pressure at the start of the trading session. Analysts attribute this to global cues and profit booking after recent gains. Investors are advised to stay cautious and focus on stock-specific moves rather than broad market trends.
On Friday, the domestic equity benchmarks ended with modest gains, but the momentum has faded in the futures market. Gift Nifty, which trades on the Singapore Exchange, slipped by about 0.3% in early trade, pointing to a weak start for the Nifty 50 on the National Stock Exchange. Market participants are closely watching the level of 19,400 for the Nifty, which has acted as a strong support in recent sessions. A breach below this could trigger further downside.
For traders, the coming week is crucial as the August F&O expiry approaches. The volatility index, India VIX, has remained elevated, indicating uncertainty. Analysts suggest that the market may consolidate in a range before the next directional move. They recommend a stock-specific approach, focusing on sectors like banking, IT, and auto, which have shown resilience.
Here are eight stocks that traders can consider for Monday's session, based on technical and fundamental strength:
| Stock | Action | Target (₹) | Stop Loss (₹) |
|---|---|---|---|
| Reliance Industries | Buy | 2,450 | 2,380 |
| HDFC Bank | Buy | 1,620 | 1,580 |
| Infosys | Buy | 1,350 | 1,300 |
| Tata Motors | Buy | 620 | 590 |
| ICICI Bank | Buy | 1,010 | 980 |
| Larsen & Toubro | Buy | 2,180 | 2,120 |
| ITC | Buy | 450 | 435 |
| Bharti Airtel | Buy | 890 | 860 |
These levels are based on recent price action and support-resistance patterns. However, traders should use their own judgment and risk management. The market may see volatility due to global events and domestic data releases.
"The gap-down opening is likely, but the market has shown resilience in the past. Investors should not panic and instead look for buying opportunities in quality stocks," said a market analyst.
As the session progresses, keep an eye on the rupee movement and foreign institutional investor flows. A strong dollar and rising crude prices could add pressure. But the underlying economic fundamentals remain supportive, and any dip could be a buying opportunity for long-term investors.
For more detailed analysis and real-time updates, visit our website MarketToMoney.