Buy or sell stocks: The key benchmark indices of the extended their uptrend for the second straight session on Tuesday. The index finished 172 points higher at 23,581. The BSE shot up 567 points and regained the psychological 76,000 level on a closing basis. The Bank Nifty index gained 462 points and closed at 54,876.
Among sectors, Metal, Auto, and Capital Market indices rallied by over 2%, whereas, despite strong market momentum, profit booking in IT stocks led the IT index to shed nearly 1%.
Stock market today
Vaishali Parekh, Vice President — Technical Research at Prabhudas Lilladdher, believes the undertone of the Indian stock market is cautiously positive after a continuous strong pullback since Monday. The Prabhudas Lilladher expert said the Nifty 50 index would need to sustain such a positive move until it breaches the 24,400 zone to provide clarity for bulls.
Speaking on the outlook for the Nifty 50 today, Vaishali Parekh said the 50-stock index extended the gains from the previous session, making a high at the 23,650 level to end the day in the green at the 23,580 zone, with the revival continuing for the second consecutive session. Auto and Metals were among the major sectors that pulled the index.
“As mentioned earlier, the Nifty 50 index would need to carry on with the positive move and cross the 24,400 zone to establish conviction and get clarity for further upward move in the coming days. At the same time, the index would need to sustain the important support of the 23,000 zone as of now,” said Parekh.
On the outlook for the Bank Nifty index, the Prabhudas Lilladher expert said the index witnessed further gains, almost touching the 55,000 zone during the intraday session, and has shown some revival from the bottom near the 53,300 zone, which needs to continue to improve the bias in the coming days.
“The Bank Nifty index has a long way to go and would need to breach above the 56500 zone to establish some clarity and conviction to anticipate further developments in the coming days. The current low made near the 53,300 zone would be the important support for the index as of now,” said Vaishali Parekh of Prabhudas Lilladher.
Vaishali Parekh’s stock recommendations for today
Regarding stocks to buy today, Vaishali Parekh recommended these three buy-or-sell stocks for intraday trading: SAIL, Bajaj Consumer Care, and Sarda Energy & Minerals.
1] SAIL: Buy at ₹153.50, Target ₹161, Stop Loss ₹150;
2] Bajaj Consumer Care: Buy at ₹343.60, Target ₹360, Stop Loss ₹335; and
3] Sarda Energy: Buy at ₹522, Target ₹555, Stop Loss ₹510.
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.