Buy or sell stocks: Domestic equity benchmarks Sensex and Nifty 50 settled flat in the previous session dragged down by heavy losses in HDFC Bank even as those of select heavyweights such as Reliance Industries, State Bank of India (SBI) and Larsen & Tounro underpinned amid largely positive global cues.
The NSE Nifty 50 rose 0.09 per cent on the day to end at 24,323.85 as gains in energy stocks helped it notch a record closing high for the fourth time this week. Sensex slipped 53 points, or 0.07 per cent, to settle at 79,996.60.
The 30-share BSE benchmark hit its fresh lifetime high of 80,000 this week in its fastest-ever 10,000-point bull run in a record 58 market sessions. The blue-chip Nifty 50 notched another record closing high on Friday, July 5, and chalked up its fifth straight week of gains, logging its longest such streak this year.
Stocks to buy
Coming to the stocks that investors can buy, Vaishali Parekh recommended the following two technical picks:
Apollo Hospitals:
Buy Apollo Hospitals at ₹6,065; Upside Potential of 8.05 per cent at Target Price ₹6,550; Stop Loss: ₹5,800 at 4.37 per cent
‘’The stock has indicated a higher bottom formation pattern on the daily chart taking support near the important 200 period MA at 5690 zone and with a decent pullback to move past the significant 50EMA level of 6,015 zone has improved the bias to anticipate for further rise,” said the Prabhudas Liladher expert on Apollo Hospitals.
‘’The RSI is currently well placed and has indicated a trend reversal to signify strength and can carry on with the positive move further ahead. Currently, with risk-reward looking favorable, we suggest to buy the stock for an upside target of 6,550 keeping the stop loss of 5,800,” said Vaishali Parekh.
CONCOR
Buy CONCOR at ₹1,062; Upside Potential of 13.90 per cent at Target Price ₹1,207; Stop Loss: ₹1,005 at 5.95 per cent
The stock after witnessing a short period of correction from the recent peak of 154 zone, has taken support near 1,015 zone, witnessing a decent pullback to move past the significant 50EMA level of 1,044 to improve the bias and anticipating for further rise in the coming days, according to Parekh.
‘’The RSI has arrived at a very attractive zone and is well placed indicating a trend reversal to signal a buy. With the chart pattern looking very attractive, we suggest to buy the stock for an upside target of 1,207 keeping the stop loss of 1,005,” said the Prabhudas Liladher expert.
TVS Motor Company
Buy TVS Motor Company at ₹2,412; Upside Potential of 13.90 per cent at Target Price ₹2,750; Stop Loss: ₹2,280 at 5.55 per cent
The stock has witnessed a short period of correction from the peak level of 2,520 zone and has taken support near 2,300 zone thereafter witnessing a pullback with a positive candle formation on the daily chart to form a higher low pattern and has improved the bias to anticipate for further rise.
‘’The RSI has cooled off significantly from the highly overbought zone and is well placed indicating a trend reversal to signal a buy. With the chart formation looking good, we suggest to buy the stock for an upside target of 2,750 keeping the stop loss of 2,280,” said Vaishali Parekh.
Where are Sensex, Nifty 50 headed?
Nifty has been steadily on the rise from 23,350 levels making new highs with the undertone maintained very bullish and anticipating for further rise for next targets of 24,500 and 24,900 levels in the coming days. The psychological near-term support would be at 24,000 zone below which the bias can turn little bit weak.
Sensex after opening with a gap up remained rangebound and closed in the rec near 80,000 zone with the broader markets witnessing active participation and performing well. The support for the day would be seen at 79,600/24,150 levels while the resistance would be at 80,500/24,450 levels, according to Parekh.
Bank Nifty indicated improvement in the bias to anticipate for further upward movement to carry the index to new heights with targets of 53,500 and 55,100 levels visible in the coming days. Bankex for the second session witnessed stagnant movement near 60,500 zone with frontline banking stocks like HDFC Bank shedding some gains.
The levels for the index remain intact with near-term support at around 59500 levels while on the upside has potential to go further till 61,500 -62,000 zone. BankNifty would have the daily range of 52,600-53,700 levels, with Bankex support at 59,800 and resistance at 61,000 levels, according to the expert.
Disclaimer: The views and recommendations provided in this analysis are those of individual analysts or broking companies, not Mint. We strongly advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and individual circumstances may vary.
