Breakout stocks today: Despite strong global cues, the Indian stock market remains in a sideways trend. The India VIX Index touched a new 52-week high of 18.32, signalling the current volatility to continue further during the Lok Sabha elections. The Nifty 50 index finished flat, while other frontline indices ended lower on Wednesday. However, it’s worth noting that bulls outsmart bears in the broad market as the small-cap and mid-cap indices ended higher with solid gains. The small-cap index finished 0.50 percent higher, while the mid-cap index shot up to 0.78 percent, providing a balanced view of the market’s performance. Some stocks in the broad market gave technical breakouts as well. According to Sumeet Bagadia, Executive Director at Choice Broking India, the VIX Index may continue to sustain above the 17 mark. If it breaches 19, the index may touch the 22 mark in the near term.
Breakout stocks to buy today
Sumeet Bagadia lists five breakout stocks one can look at during Thursday dealings. These stocks have been identified based on their potential for significant price movement in the near future, which is supported by their recent performance and market trends. The five breakout stocks are Hero MotoCorp, Balkrishna Industries, Zydus Wellness, V Guard Industries, and KECL.
Also Read: Trade setup for stock market today: Four stocks to buy or sell on Thursday
Discussing the Indian stock market outlook, Sumeet Bagadia cautions, “The India VIX Index has established a strong base around 17, but it’s encountering resistance at 19 levels. If this barrier is breached, the volatility index could reach 22 levels soon. It’s crucial to monitor how India VIX trades today, as a relief rally could be anticipated if the Nifty 50 index maintains its current crucial support zone, which is situated at 22,100 to 22,000.” He advises investors to exercise caution and avoid taking unnecessary risks, given the expected market volatility during the Lok Sabha elections.
Also Read: Buy or sell: Vaishali Parekh recommends three stocks to buy today — May 9
Stocks to buy today
1] Hero MotoCorp: A strong buy at ₹4614, with a target of ₹5000 and a stop loss at ₹4400. This stock has the potential to deliver significant gains in the near future, making it a confident investment choice.
2] Balkrishna Industries: Buy at ₹2468.45, target ₹2630, stop loss ₹2390;
3] Zydus Wellness: Buy at ₹1721, target ₹1865, stop loss ₹1640;
4] V Guard: Buy at ₹354, target ₹384, stop loss ₹337.50; and
5] KECL: Buy at ₹160.75, target ₹177, stop loss ₹155.
Disclaimer: The views and recommendations provided in this analysis are those of individual analysts or broking companies, and not Mint. We strongly advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and individual circumstances may vary.
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Published: 09 May 2024, 08:59 AM IST
