Buy or Sell: Top Stock Picks for Today
The Indian stock market is gearing up for a challenging day as it is expected to open lower amid global market weaknesses. The trends on Gift Nifty also hint at a negative start for major indices like Nifty 50 and Sensex. Recently, the domestic equity market indices ended on a mixed note, with Nifty 50 closing near the 25,500 mark.
The Sensex saw a slight decrease, closing at 82,248.61, while the Nifty 50 managed a marginal gain, closing at 25,496.55. On the Nifty options front, Chandan Taparia, Head of Derivatives & Technicals at Motilal Oswal Financial Services Ltd, noted that the maximum Call Open Interest is at the 25,500 and 25,600 strikes, while Put Open Interest is at 25,500 and 25,400 strikes.
Taparia observed that Call writing is noticeable at 25,500 and 25,600 strikes, whereas Put writing is seen at 25,400 and 25,450 strikes. This data suggests a broader trading range between 25,000 and 26,000 zones, with an immediate focus on the 25,300 to 25,700 levels.
The Nifty 50 index formed a bearish candle on the daily chart, indicating support-based buying is still present. For strength to rebuild, Nifty 50 must cross and hold above the 25,500 mark, with potential targets at 25,650 and 25,750. Support levels are identified at 25,350 and 25,250.
Meanwhile, the Bank Nifty index gained 144.35 points to close at 61,187.70, forming a small-bodied candle daily. While buying interest is visible at lower levels, momentum is lacking at higher levels. Taparia suggests that Bank Nifty needs to hold above the 61,000 mark to target 61,500 and 61,765, with support seen at 61,000 and 60,750.
For today, Taparia recommends buying three stocks: Eicher Motors, Fortis Healthcare, and JSW Steel. Eicher Motors has broken out from a bullish “Pole & Flag” pattern, suggesting an ongoing uptrend. He recommends a target price of ₹8,700 with a stop loss at ₹7,950.
Fortis Healthcare has breached the neckline of a double bottom pattern, supported by strong trading volumes. Taparia suggests buying at a target price of ₹1,030, maintaining a stop loss of ₹935.
Lastly, JSW Steel has shown a breakout from a consolidation zone with high trading volumes. A buy call is recommended with a target price of ₹1,350 and a stop loss of ₹1,240.
As always, investors are advised to consult certified experts before making any investment decisions, given the volatility of the market.
