Stock market news: The Indian equity markets ended their winning streak on Tuesday, closing lower after reaching new all-time highs earlier in the day.
The Nifty 50 fell by 144 points to finish at 26,032, while the Sensex decreased by 504 points to close at 85,138.
Domestic markets experienced continued profit-taking due to concerns about the depreciating rupee and ongoing foreign institutional investor (FII) outflows.
Market outlook and key drivers
Abhinav Tiwari, a Research Analyst at Bonanza, mentioned that ongoing foreign investor withdrawals and a lack of advancement on significant trade agreements have added strain to the currency. Banking and Financial Services stocks declined in anticipation of a potential rate cut during the upcoming RBI policy meeting.
“The markets are expected to remain in a range as participants await the RBI’s monetary policy announcement later this week, weighing the optimism of strong GDP growth against the reality of declining industrial output,” said Tiwari.
Trade Setup for Wednesday
Rupak De, Senior Technical Analyst at LKP Securities, noted that Nifty 50 experienced another day of uninspiring trading with a largely negative sentiment. On the hourly chart, the index remains below the 21EMA. A slight negative divergence on the daily chart has added to the recent decline in momentum.
“The hourly chart indicates that a rising trendline provides immediate support; however, if Nifty 50 drops below this trendline, it may lead to a decline towards 25,900. Conversely, resistance is positioned at 26,150, and surpassing this level could enhance market sentiment. In summary, a bearish to sideways trend is likely to continue in the coming days,” said De.
Stocks to buy today
Market experts recommended eight intraday stocks. The experts include Sumeet Bagadia (Choice Broking), Ganesh Dongre (Anand Rathi), and Shiju Koothupalakkal (Prabhudas Lilladher).
Recommended eight intraday stocks for today: International Ltd, Ltd, Ltd, Ltd, , Ltd, Ltd, and Ltd.
Sumeet Bagadia’s stock picks
Samvardhana Motherson International Ltd: Bagadia recommends buying Samvardhana shares at ₹119.26, with a stop-loss at ₹115, and a share price target of ₹128.
Sumeet Bagadia said that Samvardhana Motherson share price was trading at 119.26, the stock has recently reached its 52 week high levels of 119.6 after giving a breakout from a consolidation phase. This bullish formation, developed over several weeks of accumulation, signals a shift in sentiment and marks the beginning of a potential long-term uptrend. The breakout is accompanied by a noticeable rise in volume, indicating strong market participation and fresh buying interest.
“Based on the technical analysis and current market conditions, Samvardhana Motherson presents a promising buying opportunity for those aiming for a 128 target, provided that appropriate risk management strategies are in place,” said Bagadia.
Vedanta Ltd: Bagadia recommends buying Vedanta shares at ₹538, with a stop-loss at ₹519, and a share price target of ₹576.
Sumeet Bagadia said that Vedanta share price was trading at 538, the stock is in a strong upward trend, supported by steady buying interest and sustained higher price action. After retesting its previous higher levels, the stock has once again moved upward to register a fresh all time high of 539.9, reflecting renewed confidence among market participants.
“Based on the technical analysis and current market conditions, Vedanta share price presents a promising buying opportunity for those aiming for an 576 target, provided that appropriate risk management strategies are in place,” said Bagadia.
Ganesh Dongre’s stocks to buy today
Indusind Bank Ltd: Ganesh Dongre recommends buying Indusind Bank shares at ₹853 with a stop-loss at ₹840, with a Indusind Bank share price target of ₹875.
Ganesh Dongre said that in the recent short-term trend analysis of the stock, a notable bullish reversal pattern has emerged. This technical pattern suggests the possibility of a temporary retracement in the stock’s price, potentially reaching around ₹875. At present, the stock is maintaining a crucial support level at ₹840.
“Given the current market price of ₹853, a buying opportunity is emerging. This suggests that investors might consider purchasing the stock at its current price, anticipating a rise towards the identified target of ₹875,” said Dongre.
Adani Enterprises Ltd: Ganesh Dongre recommends buying Adani Enterprises shares at ₹2,240 with a stop-loss at ₹2,180, with a Adani Enterprises share price target of ₹2,340.
Ganesh Dongre said that we have seen a major support in this stock around ₹2,180. So, at the current juncture, the stock has again seen a reversal price action formation at the ₹2,240 price level, which may continue its rally till its next resistance level of ₹2,340 so traders can buy and hold this stock with a stop loss of ₹2,180 for the target price of ₹2,340 in the upcoming weeks.
Bank of India: Ganesh Dongre recommends buying Bank of India shares at ₹146 with a stop-loss at ₹140, with a Bank of India share price target of ₹152.
Ganesh Dongre said that in the recent short-term trend analysis of the stock, a notable bullish reversal pattern has emerged. This technical pattern suggests that there could be a temporary retracement in the stock’s price, possibly to around ₹152. Currently, the stock is holding a crucial support level at ₹140.
“Given this scenario, there is potential for the stock to rebound towards the ₹152 level in the near future. Traders are advised to consider taking a long position, with a strategic stop loss set at ₹140 to manage risk effectively. The target price for this trade is ₹152, reflecting the anticipated upward movement based on the identified technical,” said Dongre.
Shiju Koothupalakkal intraday stocks for today
Belrise Industries Ltd: Shiju Koothupalakkal recommends buying Belrise Industries shares at ₹169.85 with a target price of ₹180 and a stop-loss of ₹165.
Shiju Koothupalakkal said that the stock has witnessed a decent surge with series of higher bottom formation pattern visible on the daily chart with currently the stock is on the verge of a breakout above 172 zone and having a positive candle accompanied with significant volume participation has improved the bias, anticipating for further rise in the coming days.
“The RSI is well placed indicating strength and can carry on with the positive move further ahead. With the chart technically looking good and attractive, we suggest buying the stock for an upside target of 180 keeping the stop loss of 165 level,” said Koothupalakkal.
NTPC Ltd: Shiju Koothupalakkal recommends buying NTPC shares at ₹328.60 with a target price of ₹348 and a stop-loss of ₹322.
Shiju Koothupalakkal said that the stock having maintained a strong base near the 322 zone, has witnessed a pullback to improve the bias with indicators showing signs of revival to anticipate for further rise in the coming sessions. The RSI has indicated a positive trend reversal from near the oversold zone to signal a buy and with much upside potential visible, can carry on with the positive move further ahead.
“With the chart technically looking attractive, we suggest buying the stock for an upside target of 348 keeping the stop loss of 322 level,” said Koothupalakkal.
VA Tech Wabag Ltd: Shiju Koothupalakkal recommends buying VA Tech Wabag shares at ₹1,385 with a target price of ₹1,445 and a stop-loss of ₹1,360.
Shiju Koothupalakkal said that the stock has been in consolidation for quite some time with currently after a short dip witnessed has maintained the support near 1,340 zone indicating a positive candle formation with significant volume participation visible to improve the bias and can expect for further upward move in the coming days.
“The RSI is well positioned and with a buy signal indication can carry on with the positive move further ahead with upside potential visible. With the chart technically looking good, we suggest buying the stock for an upside target of 1,445 keeping the stop loss of 1,360 level,” said Koothupalakkal.
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.