Buy or sell: Rajesh Palviya of Axis Securities recommends Federal Bank, NOCIL, M&M stock for today
- Buy or sell stocks: Rajesh Palviya has recommended three stocks to buy, hold, and accumulate today - Federal Bank, NOCIL, and Mahindra & Mahindra (M&M).
Stock Market News: The domestic benchmark equity indices, the Nifty 50 and the Sensex, on Thursday's trading session inched higher, reflecting the upbeat mood that pervaded the global market.
Nifty 50 concluded with bulls in complete control and a comfortable gain. Again, Nifty PSU Bank and Nifty PSE indexes were the top performers, rising 3% apiece. NMDC (+5%), NTPC, Bharat Petroleum Corporation Ltd (BPCL), GAIL rose 4%, and Mahindra & Mahindra (M&M) (+7%) were the prominent gainers.
Nifty smallcap and Nifty midcap 100 both increased 1%, indicating an outperformance of the broader market. After a brief lull, PSU stocks continued their upward trend.
According to Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services Ltd, Oil & Gas witnessed a substantial rise owing to noteworthy quarterly outcomes, enhanced GRM, and anticipated robust development in India's oil consumption in the future.
“With the end of Q3 result season, the focus is now shifting to fundamentals and economic macro data. Domestic equities are taking support from better-than-expected inflation which would keep the trend positive. Nifty 50 is now close to 22k as well as its all-time high, we expect it to surpass these levels and touch new highs,” said Khemka.
Stock Recommendations For Today By Rajesh Palviya, SVP - Technical and Derivatives Research, Axis Securities.
Federal Bank (CMP ₹156)
On the weekly and monthly time frames, the stock is in a strong uptrend, forming a series of higher tops and bottoms, indicating bullish sentiments. Recently, the stock has recaptured its 200-day SMA (139) and rebounded sharply, indicating that the buying force is near the crucial average. On the weekly chart, the stock is trending in an up-sloping channel, which confirms the bullish trend. The daily band bolling buy signals support increased momentum, said Rajesh.
The Federal Bank has seen a long build-up with a 7% increase in open interest and a price gain of 5%, and strong support is seen at ₹155, as the ₹155 put strike has the highest open interest while the immediate resistance is seen at 165, where there is a high OI concentration on the call strike, explained Rajesh.
"Investors should buy, hold, and accumulate this stock with an expected upside of ₹175–185 and a downside support zone of ₹150–145," said Palviya.
NOCIL Ltd (CMP ₹279)
According to Rajesh, in the weekly time frame, the stock strongly consolidates within the rounding bottom formation with an expected breakout zone of ₹295 levels. Since the past month, huge rising volumes near breakout zones signify increased participation. On the monthly chart, the stock has confirmed a three-year down-sloping trendline breakout at ₹262 levels. The daily, weekly, monthly, and quarterly relative strengths are in positive terrain, which supports rising strength.
"Investors should buy, hold, and accumulate this stock with an expected upside of ₹300–330 with a downside support zone of ₹265-250," said Palviya.
Mahindra & Mahindra (M&M) Ltd (CMP ₹1,768)
With the current session's strong gains of 6%, the stock has confirmed a consolidation range breakout at 1745 levels along with huge volumes. This consolidation range is strongly supported by the 100-day SMA (1,606), which remains a crucial support zone. The stock has also registered a new all-time high at 1784 levels, which reconfirms bullish sentiments. The daily and weekly Band Bollinger buy signals suggest increased volatility and momentum.
M&M has seen a long build-up in today's session with an 11% increase in open interest and price gains of 7%, with strong writing in the put strikes of ₹1,760 and ₹1,740 indicating strong support for the stock.
"Investors should buy, hold, and accumulate this stock with an expected upside of ₹1,885–1,990 and a downside support zone of ₹1,665–1,620," said Rajesh.
Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decision.
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