Breakout stocks to buy or sell: The domestic benchmark indices of the Indian stock market, Sensex and Nifty 50, crashed on Thursday, marking the worst intraday drop in two months. This was due to waning investor confidence following the rising tensions between Iran and Israel, which shifted interest from riskier assets such as stocks. The Nifty 50 index crashed 546 points and closed at the 25,250 mark; the BSE Sensex tanked 1,769 points and finished at 82,497, whereas the Nifty Bank index ended 1,077 points lower at 51,845. The market capitalisation of all listed companies tumbled by more than ₹10 lakh crore.
Sumeet Bagadia, Executive Director at Choice Broking, believes that Indian stock market investors must trade cautiously as the Nifty 50 index has slipped below the 25,300 mark. The Choice Broking expert said that the 50-stock index may come close to the 25,000 mark as the Indian stock market trend is still looking bearish on the technical chart pattern. He advised a stock-specific approach with a focus on breakout stocks.
"The Indian stock market trend has weakened after the Nifty 50 index slipped below the 25,300 mark. The near-term support for the 50-stock index is currently placed at the 25,000 mark, and the frontline index may showcase some pullback if the index slips in the vicinity of the 25,000 mark. Those who believe in a stock-specific approach may look at breakout stocks for intraday trading," said Sumeet Bagadia.
Regarding breakout stocks to buy today, Sumeet Bagadia recommended buying these five shares: Malu Paper Mills, Anup Engineering, Kapston Services, BF Utilities, and Amber Enterprises.
1] Malu Paper Mills: Buy at ₹53.50, target ₹57, stop loss ₹51.60;
2] Anup Engineering: Buy at ₹2607.35, target ₹2777, stop loss ₹2515;
3] Kapston Services: Buy at ₹245, target ₹263, stop loss ₹236;
4] BF Utilities: Buy at ₹989, target ₹1050, stop loss ₹960; and
5] Amber Enterprises: Buy at ₹5163.85, target ₹5500, stop loss ₹4980.
Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before taking any investment decisions.
