Nifty Next 50: Key Stock Performances and Potential Upside Opportunities

The Nifty Next 50 stocks have faced significant declines in recent trading sessions, with the index losing 4.7% over the past four days. While the broader Nifty 50 index dropped 1.7%, several individual stocks within the Nifty Next 50 have seen even steeper falls, some down by as much as 10%.

Key Stock Performances:

• Major Losers:
  • Union Bank of India saw the largest loss, dropping over 10%.
  • Other significant decliners include Info Edge, JSW Energy, Zomato, Varun Beverages, IRFC, Power Finance, RECL, United Spirits, Adani Energy Solutions, and Tata Power, which all fell by 6-9%.
• Stocks with Positive Movements:
  • Godrej Consumer Products, LTI Mindtree, ICICI General Insurance, and Zydus Lifesciences were among the few stocks to show net gains, increasing by 1-3%.

Nifty Next 50 Index Outlook:

• Current Level: 66,150
• Upside Potential: 6.1%
• Downside Risk: 11.3%
• Key Support: 60,230
• Key Resistance: 68,400, 69,200

The Nifty Next 50 index is currently trading in the oversold zone on the daily chart and is below its 50-Week Moving Average (WMA) for the first time since May 2023, suggesting potential further downside towards 58,670. However, intermediate support is seen around 60,230, with resistance levels at 68,400 and 69,200.

Top 5 Nifty Next 50 Stocks with Potential for Upside:

1. Dabur India
   • Current Price: Rs 524
   • Upside Potential: 11.3%
   • Support: Rs 500
   • Resistance: Rs 543, Rs 557, Rs 565
   • Despite market volatility, Dabur is showing positive movement and could potentially rise to Rs 565.
2. ICICI General Insurance
   • Current Price: Rs 1,883
   • Upside Potential: 5.4%
   • Support: Rs 1,856
   • Resistance: Rs 1,940
   • The stock is trading above its 200-day SMA and could see a pullback to Rs 1,985.
3. Godrej Consumer Products
   • Current Price: Rs 1,187
   • Upside Potential: 9.1%
   • Support: Rs 1,174, Rs 1,140
   • Resistance: Rs 1,210, Rs 1,265
   • With nearly 10% gains since the start of the year, Godrej Consumer Products could rise further to Rs 1,295.
4. Cholamandalam Investment and Finance
   • Current Price: Rs 1,269
   • Upside Potential: 16.5%
   • Support: Rs 1,256, Rs 1,243
   • Resistance: Rs 1,331, Rs 1,376
   • Holding above key support levels, Cholamandalam could target Rs 1,478.
5. Zydus Lifesciences
   • Current Price: Rs 1,018
   • Upside Potential: 11%
   • Support: Rs 1,003, Rs 980
   • Resistance: Rs 1,031, Rs 1,052, Rs 1,085
   • Zydus Lifesciences has recently broken out of a consolidation phase, with potential for a rally towards Rs 1,130.