Stock Market News: The Indian stock market is on an uptrend after the “sell trigger” which saw stock prices suddenly and sharply fall following the results of the Indian Lok Sabha elections. The Nifty 50 index has breached the resistance level of 23,300 and the 50-stock index is now facing a new hurdle at 23,500. According to experts, the Indian stock market is anticipating a growth-oriented Union Budget in 2024. A pre-budget rally is expected and Nifty could touch 24,200 levels ahead of the interim Budget 2024. Experts added that Nifty could touch 25,000 levels by Diwali 2024. They also said that Nifty 50 index could touch 30,000 by the end of 2025.
Indian stock market trigger
Avinash Gorakshkar, veteran head of research at Profit Mart Securities, delved into the factors that will shape the Indian equity market in the short to medium term and provided an in-depth analysis. He highlighted, “The Interim Budget 2024 will be a major catalyst for the Indian equity market. The market is eagerly expecting a growth-oriented Union Budget from the first budget of the Modi 3.0 government. The next significant event for the market will be Diwali 2024. Based on these factors, we can expect India’s major equity indexes to rise by 8-10%. Even in the worst case scenario, we can expect such returns from the Indian equity market by the end of this year.” This expert analysis establishes a solid foundation for predictions and instills confidence in the audience.
Gorakshkar, however, asserted that there may be selling ahead of the pre-budget rally and the Nifty 50 index may approach or even drop below 23,000. Any fresh rally may take time until the tentative budget date is announced. He advised long-term investors to keep their money ready to buy at the bottom. He asked about value stocks and advised investors to look at real estate, automobile, capital goods and banking sectors to find value stocks.
Nifty 50 trends post COVID
“In a post-COVID scenario, it has been observed that bull markets in India tend to last longer than bear markets. This tenacity is the reason why we are witnessing a strong bounce in the Indian equity market. Bull markets lasting longer than bear markets is a testament to the resilience of the market, thanks to which the Dalal Street Index has regularly scaled new highs after pullbacks following sell-offs,” reassured Sumeet Bagadia, Executive Director, Choice Broking.This strength in the Indian equity market should come as a reassurance to the audience.
“Indian equity market has seen three bull markets and three bear markets in a span of one year. After each bull market, Nifty has risen by around 800-900 points and by the end of 2024, we can expect the 50 stock index to rise by around 166-1800 points. In 2025, we expect the Nifty 50 index to rise by around 2400-2700 points, which means around 10% year-on-year growth. Hence, by the end of 2025, we expect the Nifty 50 index to touch 27,500-28,000 levels,” said Ganesh Dongre, Senior Manager, Technical Research, Anand Rathi. This long-term potential for the Indian equity market should inspire optimism and hope among the audience.
Sumeet Bagadia of Choice Broking said he expects the Nifty 50 index to touch the 30,000 mark with stock prices rallying after the 2026 Budget announcement.
Disclaimer: The views and recommendations expressed above are those of the individual analysts, experts and brokerage firms and not that of Mint. You are advised to check with a qualified professional before making any investment decisions.
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