Stock market today: Despite weak global cues, the Indian stock market extended its winning streak for the fourth straight session on Friday. Nifty 50 index finished at the 21,894 level after climbing to a new peak of 21,928. BSE Sensex ended at the 72,568 mark after hitting a new peak of 72,568. The Nifty Bank index gained 271 points and closed at 47,709 level. Broad market indices rose less than the Nifty even as the focus remained on large-cap IT stocks, Bank stocks, and Reliance. The advance-decline ratio remained positive at 1.09:1.
"Rally in the IT sector and a 19% surge in India’s net direct tax collection supported domestic equities to make new highs on Friday. Nifty made a fresh all-time high of 21928 levels during the session and closed with handsome gains of 247 points (+1.1%) at 21894 levels. A sharp 5% up-move was seen in the IT sector after TCS and Infosys surprised the streets with their better-than-expected Q3 results. Nifty is now just 100 points away from crossing another milestone of the 22k zone," said Siddhartha Khemka, Head - Retail Research at Motilal Oswal.
On the outlook for the Nifty 50 today, Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities said, "Nifty 50 on the weekly chart formed a reasonable bull candle with long lower shadow. The bearish doji pattern implication of last week has been nullified this week, as Nifty closed above the high of last week at 21,834 levels. The next upside level to be watched is around 22,200. Immediate support for Nifty today is at 21,750."
On the outlook for Bank Nifty today, Ashwin Ramani, Derivatives & Technical Analyst at SAMCO Securities said, "Bank Nifty shrugged off its initial weakness and rose steadily throughout the day to close at 47,710, up 271 points. Heavy put writing (bulls’ entry) at 47,500 Strike, led to an Intraday rise in Bank Nifty. The resistance for the Index now shifts to the 48,000 level after today’s close. The option activity at the 47,500 level will provide cues about Bank Nifty’s future direction."
On the outlook for the stock market today, Siddhartha Khemka of Motilal Oswal said, "In this week, the market will take cues from Q3 results, India’s inflation, and US PPI data. HDFC Bank, HUL, Ultratech, ICICI Bank, Asian Paints, and several mid-cap companies will announce their Q3 results this week. Thus, we might see stock-specific action. US markets will remain closed on Monday."
On stocks to buy today, Stock market experts — Sumeet Bagadia, Executive Director at Choice Broking; Ganesh Dongre, Senior Manager — Technical Research at Anand Rathi and Kunal Kamble, Senior Technical Analyst at Bonanza Portfolio — recommended six stocks to buy or sell today.
1] Trent: Buy at ₹3212, target ₹3288, stop loss ₹3179.
Trent share price is currently trading at ₹3212. On the daily chart, a price-formed rising wedge candle stick pattern with good volume has occurred. The pattern suggests a target price of ₹3288 in the short term. Buying on dips, particularly in the range of ₹3200 to ₹3195, appears to be a favorable entry point and ₹3179 acts as a crucial support level for the stock.
2] SOBHA: Buy at ₹1348, target ₹1435, stop loss ₹1311.
SOBHA share price has recently experienced a significant breakthrough above the crucial resistance zone ranging from ₹1300 to ₹1340 on the daily chart. This breakout has been accompanied by a consolidation of the upward movement, characterized by higher highs and higher lows. The strong bullish sentiment is further validated by a noticeable surge in trading volume.
3] Paytm: Buy at ₹690, target ₹715, stop loss ₹680.
In the short-term trend, Paytm share price has a bullish reversal pattern, technically retrenchment could be possible till ₹715. So, holding the support level of ₹680 this stock can bounce toward the ₹715 level in the short term. Hence, the trader can go long with a stop loss of ₹680 for the target price of ₹715.
4] Bank of India: Buy at ₹128, target ₹135, stop loss ₹120.
Bank of India share has shown a bullish reversal pattern, so holding the support level of ₹120. This stock can bounce toward the ₹135 level in the short term. Hence, the trader can go long with a stop loss of ₹120 for the target price of ₹135.
5] OFSS: Buy at ₹4656 to ₹4658, target ₹5290, stop loss ₹4330.
A Cup and Handle pattern breakout has been witnessed in OFSS. An increase in volume indicates buyers are more interested in buying the security. The price is trading above the major EMA's indicating an uptrend in the security. The RSI has given a breakout of the falling trend line supporting the price action.
6] Tata Consumer: Buy a ₹1159 to ₹1161, target ₹1295, stop loss ₹1090.
On a Daily time, frame Tata Consumer has given a breakout of its all-time high indicating a continuation of the uptrend. The security has closed near its high indicating buyers are keen to buy the security. The volume increase is supporting price action which indicates buyers are keen to buy the security at cmp. On the average front price is trading above its 50 and 200 EMA indicating an uptrend. On the momentum front RSI is supporting the price action.
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 decision.
