Stocks to buy: Benchmark indices Sensex and Nifty rebounded on Wednesday, supported by value buying after a sharp decline in the previous session, with banking stocks leading the recovery in the equity market.
The 30-share BSE Sensex rose 332.63 points, or 0.45%, to settle at 74,336.45. The index gained as much as 502.04 points, or 0.67%, during the session to touch 74,505.86. The 50-share NSE Nifty advanced 99 points, or 0.43%, to close at 23,217.60.
Stock market today
Nifty 50
Nifty 50 closed at 23,217.60, up 99 points (+0.43%), recovering from an early dip as buying emerged near the 23,116 level. The index settled with a Doji-like candle, reflecting indecision after the recent sharp decline. Despite the recovery, RSI at 27.31 remains in oversold territory, while Nifty continues to trade below key moving averages, keeping the broader structure cautious.
“The 23,000–23,080 zone remains the crucial support area, while 23,300–23,450 is the immediate hurdle, followed by the 50-Day EMA near 23,972. Put OI around 23,200–23,000 may provide some downside cushion, whereas Call OI around 23,300–23,500 could limit recovery. With PCR at 0.97 and VIX easing to 13.17, the near-term bias remains cautious, with oversold conditions supporting the possibility of a technical rebound,” said Sumeet Bagadia, Executive Director at Choice Broking.
Bank Nifty
Bank Nifty closed at 56,292.45, up 497.70 points (+0.89%), staging a strong recovery after slipping to 55,812.20 during the first half. Buying from lower levels pushed the index towards the day’s high of 56,368.70, resulting in a positive daily candle and indicating renewed demand in the banking space. PSU Banks showed relatively stronger participation, supporting the broader recovery.
“The 55,700–56,000 region now forms the immediate support base, while 56,500–56,800 is the key resistance zone to watch. A sustained move above this resistance could improve short-term momentum, whereas failure to hold support may bring selling pressure back. For now, the near-term setup has turned cautiously positive, supported by the strong recovery from the day’s low,” Bagadia added.
Sumeet Bagadia’s stocks to buy
Sumeet Bagadia recommends five breakout shares to buy on Thursday, 17 September: Heritage Foods, eClerx Services, JK Paper, HDFC Bank, and Aegis Logistics.
1] Heritage Foods: Buy at ₹409, Target ₹450, Stop Loss ₹384
HERITGFOOD is displaying a constructive technical setup on the daily chart, with the stock giving a breakout followed by a successful retest of the breakout zone. The move is supported by rising volumes, indicating increased buying interest and market participation. The technical structure is further strengthened by the crossover of the 20-Day EMA above the 200-Day EMA, signaling improving momentum and a positive trend structure. Additionally, the RSI is sustaining above the 60 mark, indicating bullish momentum and supporting potential continuation of the uptrend. With strong support around 384, the stock has upside potential towards 450, provided it sustains above the breakout zone.
2] eClerx Services: Buy at ₹1962, Target ₹2170, Stop Loss ₹1850
ECLERX is displaying a constructive technical setup on the daily chart, with the stock witnessing a breakout from a bullish pennant pattern followed by a successful retest of the breakout zone. The stock is sustaining above the 21-Day EMA, indicating a positive short-term price structure and continued buying interest. Momentum remains supportive, with the RSI holding around the 60-mark zone, reflecting healthy bullish momentum. With strong support placed around 1,850, the stock can maintain its positive bias as long as it sustains above the key support and breakout zone. The setup indicates upside potential towards 2,170 in the near term.
3] JK Paper: Buy at ₹417, Target ₹460, Stop Loss ₹396
JKPAPER is showing a constructive technical setup on the daily chart, with the stock breaking out above a downward trend line and forming a bullish engulfing candlestick pattern, indicating improving buying interest. The breakout is supported by an increase in trading volume compared with previous sessions, adding strength to the price move. The stock is also receiving support from the 21-Day EMA, which is helping maintain the positive short-term structure. With strong support placed around 396, the stock may sustain its bullish bias above this level. The current setup indicates upside potential towards 460, subject to continued momentum and sustained trading above the breakout zone.
4] HDFC Bank: Buy at ₹721, Target ₹780, Stop Loss ₹690
HDFCBANK is showing a promising technical setup on the daily chart, with the stock breaking out from a falling wedge pattern, which indicates a potential bullish reversal. The breakout has been followed by a retest, while the 21-Day EMA is providing additional support to the positive price structure. Momentum is also improving, with the RSI displaying bullish divergence, suggesting a possible shift in underlying strength and supporting the reversal setup. With strong support placed around 690, the stock may maintain its positive bias as long as it holds above this level. The current setup indicates upside potential towards 780, subject to sustained buying momentum.
5] Aegis Logistics: Buy at ₹1381, Target ₹1520, Stop Loss ₹1310
AEGISLOG is showing a positive technical setup on the daily chart, with the stock breaking out from a pennant pattern, which is generally considered a bullish continuation formation. The breakout is accompanied by rising volumes, indicating increased participation and strengthening the price move. Momentum is further supported by a bullish crossover on the MACD, suggesting improving buying strength and a positive trend structure. With key support placed around 1,310, the stock may maintain its upward bias as long as it sustains above this level. The current technical setup indicates potential upside towards 1,520, subject to continued momentum and sustained strength above the breakout zone.
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.
