Buy or sell stocks: The benchmark indices, Sensex and Nifty 50, closed largely unchanged on Friday, August 21, marking their second straight week of losses amid high crude oil prices, stalled US-Iran negotiations and rising US bond yields.
The Sensex edged up by just 3 points to close at 77,540.83, while the Nifty 50 gained 20 points, or 0.08%, to settle at 24,252. The Nifty Midcap 150 index rose 0.08%, while the Nifty Smallcap 250 advanced 0.41%.
For the week, the 30-share Sensex declined 0.60%, while the Nifty 50 fell 0.50%.
Stock market today
Nifty 50
Nifty 50 ended marginally higher at 24,252.00, gaining 20.15 points (+0.08%), after trading in a relatively narrow range during the session. The index continues to hold above the rising short-term trendline and the 24,000–24,050 support zone, keeping the broader recovery structure intact. However, the index remains below its 50-day moving average near 24,376, while RSI stands at 49.09, below its average of 54.00, indicating that momentum remains neutral with a slight lack of strength. India VIX rose 4.09% to 11.20, suggesting a modest pickup in volatility.
“On the derivatives front, PCR at 1.08 indicates a relatively balanced-to-positive setup. The highest Put OI concentration around 24,200–24,000 provides a cushion on declines, while significant Call OI between 24,300–24,500 is likely to act as an overhead hurdle. The 24,350–24,400 zone is therefore crucial on the upside, coinciding with the 50-DMA area. A sustained move above this band could strengthen the recovery towards 24,500, whereas failure to hold 24,000 may bring renewed selling pressure. Overall, the index remains range-bound, with a cautious positive bias above the key support zone,” said Sumeet Bagadia, Executive Director at Choice Broking.
Bank Nifty
Bank Nifty extended its positive momentum and closed at 57,761.95, up 266.05 points (+0.46%), maintaining its position above the rising short-term trendline and the key moving averages. The index is trading above its 20-DMA near 57,530 and 50-DMA around 57,223, indicating comparatively stronger technical positioning than Nifty. RSI has improved to 53.72 and remains above its average of 51.79, reflecting a mildly favourable momentum setup, although the index is approaching an important supply zone.
“On the downside, 57,250–57,430 remains the immediate support area, and holding this zone would keep the recent higher-low structure intact. On the higher side, 57,880–58,000 is the key resistance band, where sustained acceptance would be required for a fresh upside breakout. Bank Nifty PCR at 0.87 suggests relatively higher Call-side positioning and warrants caution near resistance. A decisive move above 58,000 could open the way for further gains, while rejection from this zone may lead to continued consolidation within the broader range,” Bagadia added.
Sumeet Bagadia’s stocks to buy
Sumeet Bagadia recommends five breakout shares to buy on Monday, 24 August: Hindustan Zinc, Netweb Technologies India, Icici Prudential Life Insurance Comp, Prime Focus Limited, and Power Grid Corporation of India.
1] Hindustan Zinc: Buy at ₹595, Target ₹636, Stop Loss ₹574
HINDZINC is trading around 595, has printed a strong bullish recovery candle on its daily timeframe, advancing sharply off its clustered exponential moving averages (20, 50, 100, and 200 EMAs). The price action has reclaimed all key moving averages, trading firmly above the 20 EMA at 567.03 to maintain a constructive structural alignment. Meanwhile, the daily RSI indicator has crossed upward into positive territory at 62.68, signalling renewed buying momentum with ample headroom for further upside. Driven by this continuation rebound, the stock is positioned to move toward its target of 636. To protect against potential downside risk and intra-session pullbacks, a strict stop loss is placed at 574.
2] Netweb Technologies India: Buy at ₹5601, Target ₹6000, Stop Loss ₹5400
NETWEB is currently trading at 5601, has sustained its strong upward trend on the daily timeframe, advancing to fresh highs with a solid green candle supported by elevated trading volume. The price action remains positioned well above all major exponential moving averages (20, 50, 100, and 200 EMAs), maintaining a strong structural alignment in its primary uptrend. Meanwhile, the daily RSI indicator continues to trend upward in positive territory at 68.39, reflecting healthy buying momentum with room for further extension. Supported by this trend continuation, the stock is positioned to move toward its target of 6000. To protect against potential downside volatility, a strict stop loss is placed at 5400.
3] Icici Prudential Life Insurance Comp: Buy at ₹515, Target ₹550, Stop Loss ₹497
ICICIPRULI is currently trading at 515, displaying a strong bottom reversal pattern on the daily timeframe after a prolonged consolidation base. The stock has formed a decisive bullish candle, reclaiming both its 20 EMA and 50 EMA to signal renewed short-term strength. Concurrently, the RSI (14) has ticked upward to 56.98, crossing decisively above its signal line and the midline, reflecting an expansion in buying momentum. With volume expansion supporting this base breakout, the technical structure points toward continued recovery. Place a stop loss at 497 for a target of 550.
4] Prime Focus Limited: Buy at ₹296, Target ₹317, Stop Loss ₹285
PFOCUS is currently trading at 296, has initiated a strong bullish continuation move on its daily timeframe, advancing higher after taking support near its exponential moving average cluster with expanded trading volume. The price action is trending firmly above all key moving averages (20, 50, 100, and 200 EMAs), maintaining a positive structural alignment in its ongoing recovery. Meanwhile, the daily RSI indicator has crossed upward into positive territory at 58.87, signalling renewed buying momentum with scope for further upside. Supported by this technical strength, the stock is positioned to advance toward its target of 317. To manage downside risk against potential intra-session pullbacks, a strict stop loss is placed at 285.
5] Power Grid Corporation of India: Buy at ₹272.4, Target ₹292, Stop Loss ₹262
POWERGRID is trading around 272.4, has formed a bullish reversal candle on the daily chart after a sharp correction towards the 264 support zone. The stock is witnessing a strong relief pullback and is attempting to reclaim its short-term 20 EMA, with further overhead resistance placed around the 50, 100, and 200 EMAs. The RSI (14) has rebounded sharply from oversold territory to 45.87, crossing above its signal line to indicate improving momentum and an influx of buying volume. Backed by solid accumulation at lower levels, the technical setup favours a recovery moves. Maintain a stop loss at 262 for a target of 292.
Key Takeaways
- Identify breakout stocks that are positioned for upward movement based on technical analysis.
- Understand the importance of stop-loss placements to manage investment risks effectively.
- Monitor market indices and their trends as part of strategic stock investment decisions.
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
