Shares to buy or sell: Sachin Gupta of 5paisa recommends JSW Steel, Blue Star today – 4 March

Stock market today: The domestic benchmark indices, Nifty 50 and Sensex, experienced ongoing selling pressure on Tuesday as both indices commenced trading in the negative, responding to global worries regarding slowing economic growth in the US and the effects of new tariffs introduced by former US President Donald Trump.

The Nifty 50 index began at 22,011.05, reflecting a drop of 108.25 points (-0.49 percent), whereas the BSE Sensex opened the session at 72,817.34, down by 268.60 points (-0.37 percent).

Investor sentiment remained subdued as market participants evaluated the effects of global economic challenges and pressures across various sectors.

Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, mentioned that the uncertainty generated by Trump is worsening global trade conditions. The tariffs of 25% on Canada and Mexico and 20% on China (along with the additional 10% recently imposed) are turning potential threats into reality. The anticipated retaliation to these tariffs from Trump is still unknown, but it is certain that there will be responses.

If Trump’s tariff strategy persists and begins to affect other nations, it could have negative implications for global trade and the world economy. India will also be affected. In the short term, there seems to be little prospect for a recovery in the Indian market, despite fair valuations. Investors should exercise caution and monitor how the situation develops.

Market Review and Outlook – Sachin Gupta, Senior Research Analyst at 5paisa

Nifty 50 closed flat as some of Friday’s worst-performing stocks made a recovery. Notably, IT services and metal stocks bounced back by nearly 1%. However, concerns over the tariff war, FII selling, and high valuations kept Nifty 50 in check. Among the top gainers were Bharat Electronics Ltd (BEL), Grasim Industries, and Eicher Motors (up 3-4.5%). On the other hand, Bajaj Auto, Coal India, and Reliance Industries (down 2-2.4%) were the top losers. Surprisingly, market breadth was positive, with 33 of the Nifty 50 stocks advancing.

Nifty 50 is struggling to find support as macroeconomic factors continue to weigh on the market. Near-term support is seen at oversold RSI levels, which have historically been followed by short, sharp rallies. The near-term support and resistance levels are 21,792/21,590 and 22,446/22,649, respectively.

Shares to buy or sell today on Tuesday- Sachin Gupta

On shares to buy or sell on Tuesday, Sachin Gupta recommends JSW Steel, and Blue Star.

JSW Steel

On the daily chart, the stock is on the verge of a bullish breakout, indicating positive strength in the short term. Furthermore, the price is trading above the 100-day and 200-day key moving averages, which provide significant support for the ongoing bullish trend.

Additionally, the Vortex Indicator (VI+) has crossed above the Vortex (VI-), suggesting the potential for upward momentum. The On-Balance Volume (OBV) also indicates a positive crossover.

Based on this technical setup, we recommend buying JSW Steel at ₹976, with a target of ₹1,010 and ₹1,030, and a strict stop-loss below ₹942.

Blue Star

On the daily timeframe, the stock has been trading in a bullish trend, supported by the 100-day EMA, which indicates positive strength in the prices. Furthermore, in the recent move, the stock has given a Symmetrical Triangle breakout, suggesting the continuation of the uptrend. Additionally, a volume spurt was observed during Monday’s session, signaling increased buying interest among traders. The MACD and RSI indicators also support the momentum, indicating a potential long bullish move for the stock.

Based on this analysis, traders can consider buying Blue Star above ₹2,033, with a potential target of ₹2,150 and a stop-loss below ₹1,966.

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.