As the BJP-led NDA alliance appears set for a landslide victory in the Maharashtra Assembly Elections, financial experts are analysing its potential impact on the Indian stock market when trading resumes on Monday. The clear mandate is expected to strengthen investor confidence, shifting market strategies from defensive to aggressive.
Speaking on the anticipated market reaction, Palka Arora Chopra, Director of Master Capital Services, said, “The BJP-led Mahayuti alliance is poised to form the government in Maharashtra. This result is expected to bring political stability, boosting investor sentiment, particularly in sectors like infrastructure, urban development, and manufacturing, which align with BJP’s policies.”
Another expert, Palka Arora, highlighted that stability in Maharashtra could trigger a stock market rally, attributing it to the likely continuity of pro-business policies. She added, “A clear mandate would enable the government to accelerate infrastructure projects, benefiting sectors like construction, real estate, and related industries.”
Santosh Meena, Head of Research at Swastika Investmart, noted that stock market trends were already responding positively. “On Friday, markets rallied strongly after predictions of an NDA victory. With the confirmation of a one-sided win for the BJP-led NDA, market sentiments are likely to gain further momentum.”
Discussing a potential shift in investment strategies, Mahesh M Ojha, AVP—Research at Hensex Securities, said, “Following the Lok Sabha election results, investors adopted a defensive approach, focusing on FMCG and pharma stocks. However, the Maharashtra election results may prompt a shift towards railway, infrastructure, and banking stocks, reflecting a more aggressive strategy.”
Avinash Gorakshkar, Head of Research at Profitmart Securities, concurred, stating, “The Maharashtra Election results reaffirm the momentum of the incumbent government at both the central and state levels. Investors may focus on the rail and infra sectors, given the government’s emphasis on infrastructure. This could also stimulate interest in banking stocks as companies seek credit lines for projects.”
On Indian Stock Market outlook, Santosh Meena added, “Nifty has shown strong support at 23,200, aligning with the 61.8% retracement of its previous rally. It reclaimed the 200-DMA, forming a bullish harami candlestick pattern, signalling a potential trend reversal. Immediate resistance lies at 24,030 (20-DMA), and a breakout could push Nifty towards 24,550 or even 25,000 levels. On the downside, 23,500 remains a critical support level. Similarly, Bank Nifty shows resistance at 51,300–52,000, with higher resistance at 52,600–53,300.”
Also Read: Widen Your Reach but Narrow Your Ideology: Two Takeaways of the Maharashtra and Jharkhand Results
