Stock market today: The domestic benchmark indices of the Indian stock market, Sensex and the Nifty 50 index, fell for the second consecutive session on Wednesday amid weak global cues. Additionally, disappointing July-September quarterly results and concerns over inflation have affected investor sentiments.
The BSE Sensex dropped by 319 points, or 0.39 per cent, to 81,501.36 points on Wednesday, whereas the Nifty 50 index finished at 24,971.30, down 86 points, or 0.34 per cent. Cash market volumes on the NSE were flat at ₹1.03 lakh crore. The Small-cap index ended positively, even as the advance-decline ratio rose to 1:1.
On the outlook for Nifty today, Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, said, "The underlying trend of Nifty continues to be choppy with weak bias. A sustainable move only above 25200 and a sharp weakness below 24800-24700 could bring strong momentum in the market on either side."
On the outlook for the Bank Nifty today, Hrishikesh Yedve, AVP Technical and Derivatives Research at Asit C. Mehta, said, "Bank Nifty began on a sour tone, but buying demand appeared briefly before fading. As a result, Bank Nifty settled the day flat to a negative note at 51,801. Technically, on a daily scale, the index formed a shooting star candle. In the short term, Bank Nifty will face resistance near 52,030. If the index sustains this level, it could test the higher levels of 52,500–52,800. On the downside, 51,000 offers strong support, where the 100-Day Exponential Moving Average (100-DEMA) is placed. If the index holds above 51,000, a "buy on dips" strategy is advisable."
Around 35 heavyweight Dalal Street stocks announced they will declare Q2 results 2024 on Thursday. Those listed entities include Infosys, Wipro, Axis Bank, Nestle, LTI Mindtree, Havells India, etc.
Regarding shares to buy today, stock market experts Sumeet Bagadia, Executive Director at Choice Broking, and Ganesh Dongre, Senior Manager of Technical Research at Anand Rathi, recommended buying these five stocks: CAMS, Siemens AG, DLF, EI Hotel, and Titan Company.
1] CAMS: Buy at ₹4836.55, target ₹5150, stop loss ₹4685.
CAMS Industries recently exhibited a robust breakout from the critical resistance zone of 4700-4500 on the daily chart, consolidating the move with higher highs and lower lows. This breakout is supported by a notable increase in trading volume, indicating strong bullish sentiment.
2] Siemens: Buy at ₹7986.30, target ₹8550, stop loss ₹7700.
SIEMENS is currently trading at ₹7,986.3 and remains in an uptrend, as evidenced by a series of higher and lower highs over time. Recently, the stock touched an all-time high of ₹8,129.9, following a decisive breakout from a rounding bottom pattern. This suggests the uptrend is still intact, especially with support from a significant increase in volume. If the stock closes above its recent highs, it could reach a short-term target of ₹8,550.
3] DLF: Buy at ₹885, target ₹910, stop loss ₹855.
The stock has substantial support at Rs.855, marking a crucial juncture in its recent trading. At Rs.885, the stock has demonstrated a definitive price-action reversal, suggesting a potential continuation of its upward momentum. Traders keen on seizing this opportunity could consider buying and holding the stock, setting a prudent stop loss at Rs.855. The anticipated target for this trade is Rs.910, representing the next significant resistance level. This strategy positions traders favourably to capitalize on the stock's anticipated rally in the weeks ahead.
4] EI Hotel: Buy at ₹424, target ₹436, stop loss ₹415.
A notable bullish reversal pattern has emerged in the stock's recent short-term trend analysis. This technical pattern suggests a temporary retracement in the stock's price, potentially reaching around Rs. 436. The stock is currently maintaining a crucial support level at Rs.415. Given the current market price of ₹424, a buying opportunity is emerging. This suggests that investors consider purchasing the stock at its current price, anticipating a rise towards the identified target of ₹436.
5] Titan Company: Buy at ₹3470, target ₹3580, stop loss ₹3400.
On the daily chart of this stock, a breakout at the ₹3470 price level has been observed, signalling a potential upward trend. Complementing this breakout, the Relative Strength Index (RSI) is still turning up, indicating increasing buying momentum. Given these technical indicators, traders can consider buying on dips, entering the stock at a lower price point. To manage risk, a stop loss at ₹3400 is recommended. The target price for this strategy is ₹3580 in the upcoming weeks, suggesting a potential gain as the stock continues its upward trajectory.
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 decision.
