Nifty 50 Trade Setup Today: Between Global Pressure and Domestic Signals, What’s the Right Strategy?
On Thursday, June 19, Indian stock markets reflected a cautious sentiment as traders weighed both global uncertainty and domestic cues. To begin with, the Nifty 50 index is currently trading within a narrow range. According to technical analysts, unless the index decisively breaks above the 25,100 level, a significant breakout cannot be expected.
From a technical standpoint, the 23,800–24,500 zone is emerging as a strong support area for Nifty. On the upside, 25,100 is being viewed as a crucial resistance zone. Until this level is crossed with conviction, the market is expected to remain sideways. Similarly, the Bank Nifty index also traded within a restricted range of 51,800–52,600, while sectors like IT and FMCG witnessed mild profit booking.
Additionally, investor focus remained on the latest signals from the U.S. Federal Reserve. The Fed’s recent commentary indicated that interest rate cuts are unlikely in the near term. Consequently, the U.S. dollar strengthened, and flows into emerging markets, including India, remained under pressure.
Moreover, rising crude oil prices are adding another layer of concern for Indian markets. Due to escalating tensions in the Middle East, particularly around the Strait of Hormuz, global oil prices surged. This could impact Indian oil-importing companies and inflation metrics.
So, what should traders do today? The strategy appears straightforward: unless Nifty crosses above 25,100, range-bound trading is likely to continue. However, if the index pulls back toward the support zone near 24,000, a buy-on-dips strategy could be considered with proper risk management.
⚔️ Israel-Iran Tensions, US Fed Signals, and 8 Stocks to Watch: Buy or Sell on Thursday?
Let’s now turn to the major global and domestic factors driving market sentiment today. Perhaps the most significant is the Israel-Iran conflict, which has intensified concerns over oil supply disruptions in the Strait of Hormuz—a key transit route for global crude shipments. Should this tension escalate, Brent crude prices could soar beyond $120 per barrel. This would have direct consequences for the Indian economy, especially the rupee and import bills.
Meanwhile, the U.S. Federal Reserve’s hawkish stance is making investors nervous. With no immediate rate cuts in sight, foreign institutional investors (FIIs) have adopted a wait-and-watch approach. This has resulted in selling pressure in sectors like IT and technology, which are more globally exposed.
Despite this uncertain environment, some select stocks are offering promising opportunities, according to experts. Here are 8 key stocks to keep an eye on today:
📈 Stocks to Buy:
- BPCL – With rising crude oil prices, refining margins are expected to improve.
- Maruti Suzuki – Strong festive season demand and positive auto sales outlook.
- Kaynes Technology – Growth in electronics manufacturing and new contracts boost momentum.
- Mahanagar Gas – Steady demand and stable margins in the city gas distribution sector.
📉 Stocks to Sell or Approach with Caution:
- Infosys – Weak global tech demand and rising dollar put pressure on margins.
- HCL Tech – Concerns around topline growth and rising employee costs.
- Tata Steel – Slowing global demand in metals and lower realizations.
- Zomato – Flattening user growth and rising promotional expenses weigh on earnings.
Before entering any trade, investors should set clear stop-loss levels and define exit strategies to manage risk effectively.