Buy or sell stocks: The benchmark indices of the Indian stock market, Sensex and Nifty 50, extended their slide for the second successive day on Friday, November 8. The indices were driven down by a sharp selloff in the major large-cap stocks, including Reliance Industries, ICICI Bank, State Bank of India, and Trent. The Nifty 50 index closed 0.21 per cent lower at 24,148.20 points, compared to 24,199.35 points at the previous market close.
The BSE Sensex index closed 0.07 per cent lower at 79,486.32 points, compared to 79,541.79 points in the previous trading session.
Vaishali Parekh, vice president of technical research at Prabhudas Lilladher, said the Nifty found resistance near the 24,500 zone and has slipped down, with profit booking seen to form a lower top pattern on the daily chart. The bias and sentiment continued with a cautious approach. Parekh estimates the Nifty 50 Spot index to find support at 24,000 points and face resistance at 24,300 points. The Bank Nifty index will likely move in the 51,000 to 52,000 range today.
For today, Parekh recommended three buy-or-sell stocks: Exide Industries Ltd, Titan Co. Ltd, and Tata Consumer Products Ltd.
On the outlook for the Nifty 50 and the Bank Nifty index, Parekh said, “Nifty once again finding resistance near the 24,500 zone has slippped down with profit booking seen to form a lower top pattern on the daily chart with bias and sentiment maintained following a cautious approach.”
“The index would have the important support near 24,000 zone, below which it can retest the crucial zone of the 200-period MA at 23,500 levels,” said the stock market expert.
“Bank Nifty has been finding a tough barrier near the 52,500 zone and, once again, with profit booking, witnessed a slide to move below the significant 50EMA zone of 51,700 levels to weaken the bias. Anticipate a further slide. The index would have the crucial support near 50,400 levels, after which the trend would turn weak with next important level positioned near the 200-period MA at 49,600 level,” said Parekh.
Parekh said that the Nifty 50 Spot for today has support at 24,000 points, while the resistance lies at 24,300 points. The Bank Nifty index would have a daily range of 51,000 to 52,000.
1. Exide Industries Ltd. (EXIDEIND): Buy at ₹439; Target at ₹425; Stop Loss at ₹448.
2. Titan Co. Ltd. (TITAN): Buy at ₹3,170; Target at ₹3,400; Stop Loss at ₹3,050.
3. Tata Consumer Products Ltd. (TATACONSUM): Buy at ₹994; Target at ₹1,030; Stop Loss at ₹980.
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.
