Buy or sell stocks: The benchmark indices of the Indian stock market, Sensex and Nifty 50, ended lower as the optimism from the “Trump trade” rally failed to keep up the momentum. The Nifty 50 index closed 1.16 per cent lower at 24,199.35 points, compared to 24,484.05 points at the previous market close.
The BSE Sensex index closed 1.04 per cent lower at 79,541.79 points after Thursday's market session, compared to 80,378.13 points at the previous market close.
Vaishali Parekh, vice president of technical research at Prabhudas Lilladher, said Nifty has witnessed resistance near the 24,500 zone for the past few sessions and near the support of the 24,200 zone. With the bias weakening, the index needs to sustain to maintain the trend intact. Parekh estimates the Nifty 50 Spot index to find support at 24,000 points and face resistance at 24,500 points. The Bank Nifty index will likely move in a range of 51,300 to 52,500 today.
For today, Parekh recommended three buy-or-sell stocks: ITI Ltd, KEC International Ltd, and Computer Age Management Services Ltd.
On the outlook for the Nifty 50 and the Bank Nifty index, Parekh said, “Nifty has been finding resistance near the 24,500 zone for the past couple of sessions and currently has hovering near the support zone of 24,200 levels with bias weakening, and further ahead has the 24,000 zone as the crucial and important support as of now, which needs to sustain to maintain the overall trend intact.”
“Bank Nifty has been moving within a tight range with a resistance barrier at 52,500 levels, while the crucial support lies near the important 100-period MA at 51,700 zone, which needs to be sustained below which the trend would turn weak,” said the stock market expert.
“Overall, to maintain a cautious approach, one needs to wait and watch for things to settle down and establish some conviction,” said Parekh.
Parekh said that the Nifty 50 Spot for today has support at 24,000 points, while the resistance lies at 24,500 points. The Bank Nifty index would have a daily range of 51,300 to 52,500.
1. ITI Ltd. (ITI): Buy at ₹266.50; Target at ₹300; Stop Loss at ₹250.
2. KEC International Ltd. (KEC): Buy at ₹1,050.70; Target at ₹1,150; Stop Loss at ₹970.
3. Computer Age Management Services Ltd. (CAMS): Buy at ₹4,662.50; Target at ₹5,000; Stop Loss at ₹4,550.
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.
