Stocks to buy: Raja Venkatraman recommends three stocks for today — 17 January

Raja Venkatraman, co-founder, NeoTrader.
Raja Venkatraman, co-founder, NeoTrader.

Summary

  • Here are three stocks to buy as recommended by Raja Venkatraman of NeoTrader for Friday, 17 January.

Nifty 50 on 16 January: Recap

Indian benchmark indices Nifty and Sensex sustained their upward momentum for a third consecutive session on 16 January, driven by robust gains in metal, energy, and public sector bank stocks. This positive trend followed the softer-than-expected US inflation data for December, boosting hopes for additional interest rate cuts by the US Federal Reserve in 2025.

Traders and investors are now focused on earnings reports from Reliance Industries, Infosys, and Axis Bank, which are expected to guide market direction. While there is a brief sign of optimism, it is always advisable to be cautious as a "sell-on-rise" approach is still not out of the way, given ongoing uncertainties and weak fundamentals.

Also Read: Analysts love these four stocks in this struggling sector

Indian stock markets: Way forward

It was difficukt to retain the bullish sentiment and the inability of a rebound has stressed everyone. As the week began to unfold, the lower levels were held with some confidence as put writers indicated that the recovery is now possible. However, we must note that the trends are clearly not stablem inducing large scale volatility.

The overall bias has now shifted to a rangebound situation while selling pressure at higher levels persists. The resistance zones around 23900 will remain a stumbling block. With Bank Nifty unable to stabilise, more trigger is required as 52000 remains a hurdle. We had mentioned yesterday about the heavy call writing at 23300. This has now become the base for the trends going ahead into the last trading day of the week. The max pain is at 23300 that would now be the target area as we attempt to trade in this volatile market scenario. The put call ratio (PCR) has moved above 1 in Nifty, highlighting the strong push for some upside. BankNifty continues to keep the trends muted thus keeping the bullish camp under a cloud.

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Also Read: The market in 2025 will be a story of two halves - challenges followed by opportunities, says Ashish Gupta of Axis MF

Three stocks to trade, recommended by NeoTrader’s Raja Venkatraman:

• Minda Corp: Buy 591, stop 574 target 640

After consolidating for the last three months, the trends in this counter is starting to pick up. The robust long body candles that are associated gold financing stocks have been faring quite steadily. The rise of prices of this counter has been quite steady and the recent market correction did not take much sheen from the prices. With robust momentum building up, we can look at the whole setup heading higher once again, consider going long.

• Ashapura Minechem: Buy above 475, stop 460 target 525

This counter after a sharp run witnessed some profit booking and is now taking steady support at the TS & KS line highlighting the possibility of a revival. A strong showing on Thursday highlights positive sentiment. As the momentum is seen moving above important RSI zones we can consider going long.

 

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• AU Small Finance Bank: Buy above 602, stop 585, target 655

This banking counter, after a long phase of sideways action, shows that the buying interest emerges from lower levels. As momentum is gathering steam look to initiate long significant momentum in the last session, we can witness some trended action. Volumes are also seen picking up highlighting possibility of the trends to continue.

Raja Venkatraman is co-founder, NeoTrader.

Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before making any investment decisions.

Also Read: Has the market finally bottomed? Time to pounce?

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