Breakout stocks to buy or sell: After rising for fourteen straight sessions, the Indian stock market finally came under the profit-booking trigger on Wednesday. The Nifty 50 index dropped 81 points and closed at 25,198, the BSE Sensex corrected 202 points and finished at 82,352, whereas the Bank Nifty index ended 288 points lower at 51,400. Small-cap stocks continue to attract bulls in the broad market, as the BSE Small-cap index finished 0.26 per cent higher in the previous session.
Sumeet Bagadia, Executive Director at Choice Broking, believes the Nifty 50 index is facing a hurdle at 25,300. The Choice Broking expert said the overall outlook for the Indian stock market is positive until the 50-stock index is above 25,000. Bagadia maintained that most stocks are overbought; hence, one should maintain a stock-specific approach and look at buying breakout stocks for intraday trading.
"The Nifty 50 index is facing resistance at 25,300 whereas it has made a strong base at 24,900. The overall bias of the Indian stock market is expected to remain positive until the 50-stock index is above 25,000. So, one is advised to maintain a buy-on-dips strategy, keeping a strict stop loss at the 24,900 mark," said Sumeet Bagadia.
Regarding breakout stocks to buy today, Sumeet Bagadia recommended buying these five shares: Refex Industries, ADSL, CCL Products, TVZ, and Nureca.
1] Refex Industries: Buy at ₹380.70, tartget ₹400, stop loss ₹367;
2] ADSL: Buy at ₹293.90, target ₹310, stop loss ₹283;
3] CCL Products: Buy at ₹832, target ₹881, stop loss ₹804;
4] TBZ: Buy at ₹237.91, target ₹250, stop loss ₹230.
5] Nureca: Buy at ₹327.75, target ₹346, stop loss ₹315.
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.
