Buy or sell: Ganesh Dongre of Anand Rathi recommends three stocks to buy on Monday - 17 March

Buy or sell: Broader indices underperformed major indices due to concerns over U.S. tariffs. The IT sector experienced the most significant decline, losing nearly 6% during the week. Mid-cap and small-cap indices shed approximately 2-4%, while Nifty and Bank Nifty recorded losses of 0.9% and 1.07%, respectively.

Weekly Trading Overview

As anticipated in the previous weekly analysis, the formation of daily higher low closing patterns indicated the possibility of Nifty moving towards the resistance level of 22,800. Notably, Nifty witnessed a short-covering rally up to 22,700 but failed to close above 22,800. Technically, Nifty still holds the previous weekly low near the 22,000 mark. Weekly candlestick patterns continue to exhibit higher high closings, signaling persistent bullish momentum.

Until Nifty decisively closes below the 22,000-21,800 range on a weekly basis, traders can hold long positions but should exercise caution near the resistance levels of 22,800 and 23,200 for the upcoming week. Options data indicates that the current Put-Call Ratio (PCR) stands at 0.90. For the upcoming week, Nifty is expected to trade within the 21,700 to 23,000 range, with key support at 21,700 and resistance at 22,800-23,200.

Bank Nifty Performance

The Bank Nifty index declined by 1.3% but managed to hold its previous low at 47,700, despite IndusInd Bank shedding more than 28% for the week. Looking ahead, as long as Bank Nifty holds the crucial support level of 47,700 on a closing basis, short covering could push it towards the 49,000 resistance mark. The expected range for Bank Nifty for the week is 47,500-49,000.

Conclusion

Both Nifty and Bank Nifty closed below their respective monthly resistance zones—23,600 for Nifty and 50,000 for Bank Nifty. However, immediate strong support levels are seen at 21,700 for Nifty and 47,500 for Bank Nifty in the upcoming weeks. These levels will be crucial for initiating fresh long positions. Investors and traders should remain cautious and closely monitor these key levels to gauge future market direction.

Weekly Stocks

Buy Tata Consumer Products at ₹945-950; Stop Loss at ₹925; Target Price of ₹975.

Buy Bajaj Finance at ₹8300 -8350; Stop Loss at ₹8150; Target Price of ₹8600.

Buy Avenue Supermarts at ₹3780-3800; Stop Loss at ₹3740; Target Price of ₹3950.

Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decision.