Stock market today: Trade setup for Nifty 50 to Sensex. Five stocks to buy or sell in Muhurat trading

Stock market today: Following weak global market sentiments, the Indian stock market ended lower for the second straight session on Thursday. The Nifty 50 index lost 135 points and closed at 24,205, the BSE Sensex corrected 553 points and ended at 79,389, and the Nifty Bank index finished 251 points lower at 51,555. Cash market volumes have remained steady over the last few days, suggesting no great conviction on either side by participants. The small-cap index ended 1.6 per cent positive even as the advance-decline ratio remained firm at 1.82:1.

Global shares mostly declined on Thursday as investors grappled with uncertainty ahead of the US elections next Tuesday. Sentiments soured after Facebook owner Meta Platforms, and Microsoft warned of accelerating artificial intelligence costs. Europe's benchmark index fell on Thursday, headed for its worst monthly performance in a year.

Trade setup for Muhurat Trading 2024

Speaking on the outlook for Nifty today, Rajesh Bhosale, Equity Technical Analyst at Angel One, said, "As October concluded, it marked a challenging month for bulls, erasing gains accumulated over the past two months, with Nifty dropping more than 6% one of the steepest monthly declines in recent times, which has impacted the monthly chart's structure. Throughout the week, the 24,100 to 24,000 zone provided some support due to oversold conditions, but the index faced persistent resistance on attempted rebounds. Despite multiple efforts, prices couldn't surpass the 24500 level, part of a resistance zone around 24500–24600, created by a confluence of key moving averages. A strong close above this range is needed before considering aggressive positions, as the market seems poised for a phase of high volatility. Conversely, a breach below this week's support range of 24100–24000 could trigger further weakness, possibly pulling prices toward the 200 SMA near 23,500."

On the outlook for the Bank Nifty today, Hrishikesh Yedve, AVP Technical and Derivatives Research at Asit C Mehta, said, "Bank Nifty opened with a gap-down and faced pressure throughout, closing at 51,475. A red candle on the daily scale suggests continued weakness, with the 100-Days Exponential Moving Average (DEMA) at 51,150, providing short-term support, followed by 51,000 levels. Thus, 51,000-51,150 will provide short-term support for the index, while resistance stands near the previous swing high at 52,580. In the immediate term, Bank Nifty is expected to consolidate between 51,000 and 52,580. Either side's breakout will set up the index's next move."

Speaking on the outlook for the Indian stock market today and triggers that may dictate Dalal Street during Muhurat Trading 2024, Siddhartha Khemka, Head - Research, Wealth Management, Motilal Oswal said, "We expect this range-bound move to continue with an increase in volatility as we enter an eventful week. Investor's focus would remain on the ongoing result season as several index heavy-weights like Titan, Dr Reddy's, Tata Steel, Power Grid, Apollo Hospital, M&M, Trent, SBI, Tata Motors, Asian Paint, Divis Labs are set to announce their quarterly results next week. Globally, US presidential polls will be conducted on November 5th, followed by US Fed and BOE interest rate decisions, which will keep investors busy."

Stocks to buy today

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 shares: Crisil, Fortis Healthcare, Natco Pharma, Chambal Fertilisers, and Sun Pharma.

Sumeet Bagadia's stock recommendations today

1] Crisil: Buy at ₹5474.75, target ₹5850, stop loss ₹5280.

CRISIL's daily chart analysis offers a favourable view for the following week, indicating a steady upward advance. Notably, the stock has produced a notable higher high and higher low pattern in the daily frame, and the company's recent upward swing has effectively violated the neckline, establishing a new week high. This breakthrough indicates the possibility of a significant follow-through upward increase in the stock price.

2] Fortis Healthcare: Buy at ₹624.70, target ₹665, stop loss ₹600.

FORTIS currently trades at ₹642.7 and demonstrates a strong uptrend, characterized by higher highs and higher lows, reflecting a bullish sentiment. The stock has recently broken out of a sideways continuation pattern, indicating the potential for further upside. It has rebounded significantly from its 50-day EMA level, a medium-term indicator supporting the likelihood of continued momentum. Should the stock close above its recent highs, it could unlock further gains, with a short-term target of ₹665.

Ganesh Dongre's shares to buy today

3] Natco Pharma: Buy at ₹1402, target ₹1450, stop loss ₹1365.

The stock has substantial support at ₹1365, marking a crucial juncture in its recent trading. At ₹1402, the stock has demonstrated a definitive reversal in price action, 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 ₹1365. The anticipated target for this trade is ₹1450, representing the next significant resistance level. This strategy positions traders favourably to capitalize on the stock's expected rally in the weeks ahead.

4] Chambal Fertilizers: Buy at ₹484, target ₹498, stop loss ₹475.

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 ₹498. The stock is currently maintaining a crucial support level at ₹475. Given the current market price of ₹484, 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 ₹498.

5] Sun Pharma: Buy at ₹1858, target ₹1900, stop loss ₹1840.

On the daily chart of this stock, a breakout at the ₹1858 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 of ₹1840 is recommended. The target price for this strategy is ₹1900 in the upcoming weeks, suggesting a potential gain as the stock continues its upward trajectory.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.