Stock market today: Trade setup for Nifty 50 to RBI MPC meeting; eight stocks to buy or sell on Friday — 6 June 2025

As we look at the latest developments in the Indian stock market, it is noteworthy to mention that Thursday marked a positive end to the session, with the Nifty 50 index rising by 130 points to close at 24,750. Additionally, the BSE Sensex demonstrated a robust performance by gaining 443 points, resulting in a conclusion at 81,442. The Bank Nifty also added 84 points, reaching a close of 55,760. Amidst these uptrends, stocks like Trent and Dr. Reddy emerged as significant gainers on the Nifty, while IndusInd Bank, Tata Consumer, and Axis Bank faced downward pressure.

The trading volumes in the NSE cash market recorded an increase of 6% from Wednesday’s figures, which suggests a growing investor interest that could be pivotal in driving future performance. The Mid-cap and Small-cap indices showed exceptional gains, with the Nifty Mid-cap 100 Index rising by 0.53% and the Nifty Small-cap 100 Index surging by 0.96%. Remarkably, the Small-cap index has now climbed to a four-month high, demonstrating that bullish sentiments are gaining traction among investors. The market broadened into positive territory for four consecutive days, as evidenced by a BSE advance-decline ratio of 1.33, with advancing stocks outnumbering the declining ones.

As we turn our attention towards the outlook for the Indian stock market, experts anticipate that the markets will continue to consolidate with a positive bias. Siddhartha Khemka, Head of Research at Motilal Oswal’s Wealth Management, points out that this trend will likely mirror factors from global markets, key economic indicators, and ongoing trade discussions between the U.S. and India.

On the technical side, Devarsh Vakil from HDFC Securities notes that the Nifty has not only regained its standing above the 20-day Exponential Moving Average (EMA) but has also established a robust base around the 24,500 mark. However, potential resistance is likely at the 24,900 levels, especially as investors set their sights on the Reserve Bank of India’s (RBI) monetary policy decision scheduled for June 6. Analysts widely expect a 25 basis point cut in interest rates for the third consecutive time, which could fuel further investor sentiment in the market.

Looking specifically at the Bank Nifty’s prospects, Om Mehra, a Technical Research Analyst at SAMCO Securities, shares that the index is currently trading above all major moving averages. A prominent ascending triangle pattern on the daily chart hints at potential upward movement; a close above 56,162 may unlock new avenues for gains.

Investors may also note a significant decline in market volatility as indicated by the India VIX, which eased by 4.21% to a standing of 15.08. This reduction signals a decrease in market anxiety and may point toward a shift in sentiment allowing for a more ‘risk-on’ approach.

Globally, the U.S. stock market experienced a dip, closing significantly lower amid various prevailing factors, including a notable dispute between President Trump and Elon Musk, which overshadowed important trade negotiations with China. The Dow Jones Industrial Average declined by 0.25%, while the S&P 500 and Nasdaq Composite recorded losses of 0.53% and 0.83%, respectively. Particularly troublesome was the 14% drop in Tesla’s share price, attributed to Trump’s threats regarding Musk’s government subsidies.

Despite these setbacks abroad, the pan-European STOXX 600 index demonstrated resilience, rising 0.16%, while the broader FTSEurofirst 300 index saw an uptick of 0.19%.

As the day unfolds, keen investors are focusing on stocks that present potential buying opportunities. Market experts, including Sumeet Bagadia from Choice Broking and Ganesh Dongre from Anand Rathi, have suggested eight specific stocks to either buy or sell. Recommendations include:

1. MOIL: Buy at ₹387.95, with a target of ₹420 and a stop loss at ₹370.
2. Fortis Healthcare: Buy at ₹754.75, targeting ₹820 with a stop loss at ₹720.
3. Oberoi Realty: Suggested buy at ₹1800, with a target of ₹1950 and a stop loss at ₹1750.
4. SBI: Buy at ₹807, targeting ₹840 with a stop loss at ₹790.
5. Aditya Birla Capital: Buy at ₹225, aiming for a target of ₹235, with a stop loss at ₹218.
6. NIIT: Recommended buy at ₹136.15, with target ₹143 and stop loss at ₹133.
7. Shriram Properties: Buy at ₹97.95 with a target of ₹103 and stop loss at ₹95.50.
8. Paras Defence: Buy at ₹1724, targeting ₹1820 with a stop loss at ₹1690.

In conclusion, while the Indian stock market has shown promising signs of recovery and growth amidst global uncertainties and volatility, it is essential for investors to remain vigilant and well-informed. As always, anyone looking to navigate these turbulent waters should consider consulting with certified financial experts to tailor strategies that align with their individual financial goals and risk tolerance.

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