Stock market recommendations: Aster DM Healthcare, and Karur Vysya Bank are the top stocks that have been recommended by Sudeep Shah, Head – Technical Research and Derivatives, SBI Securities for the week starting March 30, 2026. He also explains his outlook for Nifty and Bank Nifty:Nifty View:Since geopolitical tensions escalated, market behaviour has settled into a predictable yet deceptive rhythm. Periodic relief rallies lasting a couple of sessions have repeatedly surfaced, only to be abruptly negated by sharp downside gaps. These short recoveries have encouraged traders to prematurely assume a turnaround, drawing in participation driven by fear of missing out. However, each attempt at recovery has lacked durability, with sellers quickly regaining control and pushing markets lower once again. As a result, every bounce increasingly resembles a bull trap rather than a genuine opportunity.This pattern—where optimism is swiftly followed by renewed selling—has amplified market volatility and caused substantial capital erosion, especially for short-term traders and leveraged positions. The market’s repeated inability to build on rebounds underscores how fragile sentiment remains. In an environment devoid of strong conviction, even marginal news flows or triggers are proving sufficient to spark outsized reactions, reinforcing the importance of prudence, position sizing, and disciplined risk management.From a broader perspective, Nifty has fallen more than 9% so far this month, registering its most severe monthly decline since the pandemic era selloff. Adding to the pressure, interruptions in global gas supply have introduced fresh challenges for several sectors, particularly those with high energy dependence. Rising input costs, margin uncertainty, and deferred corporate spending are becoming more visible, collectively dimming expectations of an earnings recovery and weakening overall investor confidence. This backdrop raises an uncomfortable question around whether earnings downgrades may still have room to deepen.On the technical front, the setup remains largely unchanged from last week. The index continues to trade below all key moving averages, while momentum indicators persist in bearish territory, signalling that selling pressure is still dominant. That said, the Nifty Midcap 100 and Nifty Smallcap 100 have shown relatively better performance compared to the frontline indices. Despite this relative resilience, the broader risk environment warrants caution, and price action in the mid and smallcap segment needs close observation over the next two to three weeks to determine whether strength can be sustained or proves fleeting.In terms of key levels, the 22650–22600 band represents a critical support zone for Nifty. A decisive breakdown below 22600 could lead to an extension of the decline towards 22400, and thereafter 22200 in the near term. On the upside, recovery attempts are likely to encounter stiff resistance in the 23150–23200 zone, which remains a key hurdle for any meaningful reversal.Bank Nifty ViewBank Nifty has emerged as one of the weakest performers among the frontline indices in March, exerting notable drag on overall market sentiment. Monthtodate, the index has declined by more than 13%, and the formation of a large bearish candle on the monthly chart clearly reflects aggressive selling activity and sustained distribution at higher levels. Adding to the concern, the Bank Nifty–to–Nifty relative strength ratio continues to trend lower, forming successive lower highs and lower lows, signalling persistent underperformance versus the broader market.From a trend perspective, the deterioration is becoming more pronounced. The index is currently positioned approximately 8% below its 200day EMA and nearly 9% below its 100day EMA, confirming a decisive breakdown of medium and long term support. Momentum indicators echo this weakness: the daily RSI has slipped into a superbearish regime as per RSI rangeshift theory, while the weekly RSI remains entrenched in bearish territory and is still trending lower, pointing to downside pressure across multiple timeframes.Given this combination of weak price structure and deteriorating momentum, the nearterm outlook for Bank Nifty remains tilted to the downside. On the levels front, the 51700–51800 zone is likely to provide initial support. However, a decisive violation of 51800 could accelerate the decline towards 51000, with the risk of further extension towards 50400 in the near term.On the upside, any rebound is likely to be corrective rather than structural. The 53400–53500 zone is expected to act as a strong supply area, where selling pressure could reemerge and restrict meaningful upside traction.
Stock recommendations:
Aster DM HealthcareAster DM Healthcare has staged a strong rebound from its 200-day EMA, coinciding with the 613–603 support zone, highlighting strong buying interest. The stock has moved above the midline of the Bollinger Bands, indicating a shift towards a bullish bias and potential for further upside. The RSI has rebounded from 44 to 58, signaling improving momentum. Overall price structure suggests strength, and as long as it sustains above support levels, the ongoing pullback is likely to extend further. Hence, we recommend to accumulate the stock in the zone of 665-670 with a stoploss of 645. On the upside, it is likely to test the level of 715 in the short term.Karur Vysya BankKarur Vysya Bank has staged a strong rebound from its prior support zone of 255–250 on the daily chart, indicating strong buying interest at lower levels. The RSI has recovered sharply from oversold levels of 29 to 58, signaling renewed bullish momentum. The DI lines on the ADX are on the verge of a crossover, suggesting that selling pressure is easing.Additionally, the recent 3-days pullback has been supported by a healthy rise in volumes, reinforcing the strength of the ongoing recovery. Hence, we recommend to accumulate the stock in the zone of 293-298 with a stoploss of 283. On the upside, it is likely to test the level of 320 in the short term.(Disclaimer: Recommendations and views on the stock market, other asset classes or personal finance management tips given by experts are their own. These opinions do not represent the views of The Times of India)
