Top Stock Recommendations: Osho Krishan of Angel One suggests buying Ipca Lab, and NRB Bearing today

Stock Market News: The domestic benchmark equity indices, the Sensex and the Nifty 50, began Thursday's trading session higher tracking the RBI's largest-ever dividend to the government. Sensex opened at 74,250, and Nifty 50 started above 22,600.

There are positive and negative aspects for the market right now, according to Dr. V K Vijayakumar, Chief Investment Strategist of Geojit Financial Services. The RBI's record dividend of ₹2.11 lakh crores to the government is the greatest plus; it would offer the government an extra 0.3% of GDP in fiscal flexibility. This implies that the government may spend more on infrastructure while also lowering its budget deficit. Bond yields have dropped significantly, which is indicative of the government borrowing less. Decline in bond yields is positive for banking stocks.

Further, the minutes from the Federal Reserve meeting, which show worry over inflation's persistence, are a negative for the equity markets.

Also Read: Nifty 50 Share Price Live Updates: Nifty 50 is trading at ₹22,672.95

Nifty 50 Outlook by Osho Krishan, Sr. Analyst, Technical & Derivatives, Angel One

The bulls have extended their gains for the fifth consecutive session, though the momentum has slowed, as evidenced by small body candles on the daily chart as prices have approached a key hurdle. For over three months, prices have been oscillating within a range, and after rebounding from the lower band last week, they have now approached the higher range, causing some tentativeness in intra-day sessions. Moving forward, the 22,700 - 22,800 range is crucial, and how prices react around this zone will be important in the next few sessions. Although there are no signs of weakness, it is advisable not to make aggressive long bets and to consider booking some profit as the Lok Sabha election results approach. For the next momentum move, prices need to close above 22,800, which could push them towards 23,000 - 23,100. However, this seems unlikely for the current trading week. On the downside, 22,400 is a key support level, and dips towards it can be seen as buying opportunities, said Osho Krishan, Sr. Analyst, Technical & Derivatives, Angel One.

Traders should monitor these levels and plan their trades accordingly. While stock-specific trades continue to be rewarding, the favourable market breadth has cooled down in the last few sessions, warranting a more selective approach moving forward. Additionally, keeping an eye on global developments is crucial, as any issues could potentially impact the recent market run, advised Krishan.

Also Read: Stocks to watch: Grasim, Sun Pharma, Power Grid Corp., Nykaa, Garden Reach Shipbuilders

Top Stock Recommendations For Thursday by Osho Krishan

On stocks to buy today, Osho Krishan recommended two stocks - Ipca Laboratories Ltd (Ipca Lab), and NRB Bearing Ltd.

Ipca Laboratories Ltd (Ipca Lab)

Ipca Laboratories Ltd has been hovering in the cycle of higher highs – higher lows, hovering above all its EMAs on the daily chart. The counter has seen decent traction in the last couple of trading sessions, from its 50 DEMA on the daily, which historically has provided strong support to the counter. This indicates a strong potential for growth. Meanwhile, on the oscillator front, the 14-period RSI has witnessed a positive crossover, portraying a bullish quotient, and a sustained move would likely trigger fresh traction to propel the counter northwards into uncharted territory from a broader term view.

"Hence, we recommend to BUY Ipca Laboratories around ₹1,310-1,300 keeping a stop loss of ₹1,250 for a potential Target of ₹1,400-1,420," said Krishan.

Also Read: Stock market today: Trade setup for Nifty 50 to India VIX, five stocks to buy or sell on Thursday — May 23

NRB Bearing Ltd

NRB Bearing Ltd has seen strong traction in the last couple of trading sessions as it resurged from its cluster of EMA on the daily chart. The counter has a multi-week breakout on the back of robust volumes and is likely to attract traction. On the oscillator front, MACD and RSI both have showcased a positive crossover, suggesting strong momentum in the comparable period. Also, from the risk-reward point of view, the counter is placed in a lucrative zone and seems poised to continue its upward march.

"Hence, we recommend to BUY NRB Bearing around ₹340-330 keeping a stop loss of ₹315 for a potential Target of ₹360-370," said Osho.

Also Read: RBI's record dividend of ₹2.11 trillion to help Centre's FY25 fiscal deficit, lower bond yields

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 decisions.