Cement Sector In Focus

Mumbai: Indian stock markets closed positively on Monday as BSE Sensex rising by 0.56 per cent to 80,248. This marks a continuation of the upward trend for the second consecutive session, driven primarily by robust performances in the pharma, realty, and auto sectors.

Despite earlier concerns over disappointing GDP data Q2 FY25 GDP grew by 5.4 per cent Vs forecast of 6.8 per cent and 6.7 per cent in Q1FY25 and ongoing foreign institutional investor selling, market sentiment improved significantly throughout the day. The broader market also showed resilience, with mid and small-cap indices outperforming their larger counterparts.

Notably, UltraTech Cement led the gainers with a notable rise of 3.93 per cent, reflecting positive sentiment in the cement sector following optimistic recovery forecasts.

Vaibhav Vidwani, Research Analyst, Bonanza says: “However, the Nifty PSU Bank index lagged slightly, down by 0.20 per cent, primarily due to declines in major banks like Union Bank and SBI.”

Looking ahead, investors will be closely watching the Reserve Bank of India’s upcoming monetary policy meeting scheduled for December.

STOCK PICKS

COSMO FIRST

Buy | CMP: Rs842 | SL: Rs800 | Target: Rs900, Rs950

Analysis: Cosmo First has broken out above a significant trendline resistance at Rs830, supported by a sharp surge in volumes, indicating strong buying momentum. The stock is forming a bullish chart pattern with immediate resistance zones at Rs900 and Rs950. The key support lies at Rs800, making it a reliable level for managing downside risk. Sustained trading above the breakout level suggests the potential for further upside.

PARK HOTEL

Buy | CMP: Rs188 | SL: Rs170 | Target: Rs200, Rs220

Analysis: Park Hotel is showing strength as it approaches a crucial resistance level at Rs188, backed by a consistent rise in volumes. The stock is respecting a well-defined upward trendline, suggesting continued bullish momentum. Support at Rs170 acts as a safety net, while a breakout above Rs188 could confirm the next leg toward Rs200 and Rs220. The technical setup indicates a favorable risk-reward opportunity.

(Source: Riyank Arora, technical analyst at Mehta Equities)