Buy or sell stocks: Following weak global market sentiments on the rising US dollar rates, the Indian stock market ended lower for the third straight session on Wednesday. The Nifty 50 index went off 36 points and closed at 24,435, the BSE Sensex shed 138 points and ended at 80,081, and the Nifty Bank index finished marginally lower at 51,239. The broader market indices ended in the positive, and the advance-decline ratio ended in the positive.
Vaishali Parekh, Vice President — Technical Research at Prabhudas Lilladher, believes that Indian stock market bias is weak as the Nifty 50 index further slipped and closed below the 24,500 mark. The Prabhudas Lilladher expert said the 50-stock index has crucial support placed at 24,000, whereas the frontline index faces resistance at 24,700. Vaishali noted that the Bank Nifty index is sustaining above 51,000, but it needs to break above 51,700 to improve the bias.
Regarding stocks to buy today, Vaishali Parekh recommended buying these three shares: One 97 Communications (Paytm), Firstsource Solutions, and Zydus Lifesciences.
Speaking on the outlook for Nifty today, Vaishali Parekh said, "The Nifty 50 index amid volatility ended below the 24,500 zone with bias and sentiment maintained with a cautious approach having the crucial support near the 24,000 level as of now. The index would need to decisively breach above the 24,750 zone to improve the bias overall and expect further rise in the coming days."
"The Bank Nifty index has shown some stability near the 51,000 zone with a sluggish movement witnessed throughout the session and would need to breach above the 51,700 zone decisively to improve the bias overall," said Parekh.
Parekh added that the immediate support for the Nifty today is at 24,300, while the resistance is at 24,600. The Bank Nifty will have a daily range of 50,700 to 51,700.
1] Paytm: Buy at ₹745, target ₹790, stop loss ₹720;
2] Firstsource Solutions: Buy at ₹350, target ₹380, stop loss ₹335; and
3] Zydus Life: Buy at ₹999, target ₹1,040, stop loss ₹975.
Disclaimer: The views and recommendations above are those of individual analysts, experts, and brokerage firms, not Mint. We advise investors to consult certified experts before making any investment decisions.
