Benchmark indices on D-Street fell for the third day in a row, dragged by banks and financials ahead of the RBI policy outcome on Friday. Nifty's lackluster trade in the last three sessions has dragged the index below the 21EMA. Rupak De, Senior Technical Analyst at LKP Securities said that a mild negative divergence on the daily chart has contributed to the recent weakness in momentum. "On the hourly chart, a rising trendline offers immediate support; however, if Nifty slips below this trendline, a slide towards 25,900 may follow. On the other hand, resistance is placed at 26,150, and a move above this level could improve sentiment. Overall, a bearish to sideways sentiment may persist over the next few days," De said.Here are 2 stock recommendations for Wednesday: Stock Ideas

Market Trading Guide: Buy Birlasoft and Asian Paints on Wednesday for up to 10% gains

Benchmark Indices Fall for Third Consecutive Day

Benchmark indices on D-Street saw a decline for the third day in a row, dragged by banks and financials ahead of the RBI policy outcome on Friday.

Nifty's Lackluster Trade

Nifty's lackluster trade in the last three sessions has dragged the index below the 21 EMA.

Expert Analysis

Rupak De, Senior Technical Analyst at LKP Securities, said that a mild negative divergence on the daily chart has contributed to the recent weakness in momentum.

On the hourly chart, a rising trendline offers immediate support.
If Nifty slips below this trendline, a slide towards 25,900 may follow.
Resistance is placed at 26,150, and a move above this level could improve sentiment.

Overall, a bearish to sideways sentiment may persist over the next few days, according to De.

Stock Recommendations

BSOFT

Stop Loss: Rs 383, Target: Rs 437

BSOFT has broken out above a key resistance level on the daily chart.
The stock continues to trade decisively above its 20, 50, and 100-day EMAs, reaffirming the strength of the ongoing uptrend.
The RSI at 64.23 and rising underscores firm bullish momentum, indicating strong potential for further upside in the near term.

Recommendation by Kunal Kamble, Sr. Technical Research Analyst, Bonanza Portfolio

ASIANPAINT

Stop Loss: Rs 2,810, Target: Rs 3,253

ASIANPAINT has broken out of its consolidation zone on the daily chart with volume significantly above the 20-day average.
The stock closed with a strong bullish candlestick, reflecting robust accumulation.
It continues to trade well above its 20, 50, 100, and 200-day EMAs, reaffirming the dominance of the prevailing uptrend.
The RSI, currently at 78.87 and rising, indicates powerful bullish momentum, suggesting strong potential for further upside in the near term.

Recommendation by Kunal Kamble, Sr. Technical Research Analyst, Bonanza Portfolio