Stock market strategy for Budget 2024: Experts recommend these five stocks to buy or sell on Tuesday — July 23 | Stock Market News

Stock market strategy for Budget 2024: Ahead of the Union Budget 2024, the Indian stock market remained sideways and ended lower for the second straight session on Monday. The Nifty 50 index ended 21 points lower at the 24,509 mark, the BSE Sensex lost 102 points and closed at 80,502, and the Bank Nifty index finished 14 points higher at 52,280. Cash market volumes on the NSE fell 9.4 percent. The broad market indices ended positively, even as the advance-decline ratio recovered to 1.30:1.

Stock market strategy for Budget 2024 date

Speaking on the outlook for Nifty today, Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, said, “While Nifty continues to hold above the 20 and 50-day SMA ahead of the Budget to be announced today, the short-term trend remains down. Further downsides are likely once the immediate support of 24,362 is broken. Any pullback rallies could find resistances at 24,595 to 24,646.”

On the outlook for Bank Nifty today, Dhupesh Dhameja, Technical Analyst at SAMCO Securities, said, “The Bank Nifty index continues to struggle for direction, remaining trapped in a narrow range and extending its lacklustre performance from previous sessions. Despite recovering intraday losses in the first half, the index traded sideways in the second half, closing at 52,280, up by 14 points. The index is sustaining above its 20-day Exponential Moving Average (DEMA) on the daily chart, acting as a crucial support level.”

Speaking on the outlook for the Indian stock market today, Siddhartha Khemka, Head of Retail Research at Motilal Oswal, said, “Though the Budget is largely expected to be growth-oriented, with the announcement of some measures aimed at addressing the rural economy, the market has largely factored this in. Investors will look out for signs of further traction. We could see some volatility today along with sector and stock-specific actions.”

Stocks to buy today

Regarding stocks to buy today, stock market experts Sumeet Bagadia, Executive Director at Choice Broking, and Ganesh Dongre, Senior Manager of Technical Research at Anand Rathi, recommend buying these five buy-or-sell stocks: Balkrishna Industries, State Bank of India (SBI), Tata Steel, Ashok Leyland, and Deepak Nitrite.

Sumeet Bagadia’s intraday stocks for today

1] Ashok Leyland: Buy at ₹230.45, target ₹245, stop loss ₹222.

Ashok Leyland share price is currently trading at ₹230, breaking a recent consolidation range. The stock has bounced from its medium-term (50-day) EMA levels and formed a bullish, engulfing candlestick pattern on the daily chart. This pattern is supported by high trading volumes, indicating significant strength in the bullish momentum.

2] Deepak Nitrite: Buy at ₹2851.20, target ₹3100, stop loss ₹2730.

The stock recently broke out from an inverted head-and-shoulder pattern on the daily chart. After the breakout, it entered a consolidation phase and rebounded from the neckline support. Recently, it has surpassed the consolidation range and closed sustainably above the ₹2850 level. This suggests the potential for the stock to target short-term levels around ₹3100.

Ganesh Dongre’s shares to buy today

3] Balkrishna Industries: Buy at ₹3158, target ₹3300, stop loss ₹3080.

In the short term, the stock has seen a bullish reversal pattern. Technically, retrenchment could be possible until ₹3300. So, holding the support level of ₹3080, this stock can bounce toward ₹3300 in the short term. Hence, the trader can use a stop loss of ₹3080 for the target price of ₹3300.

4] SBI: Buy at ₹878, target ₹910, stop loss ₹858.

On the daily chart, the stock has shown a short-term reversal pattern. Specifically, a bullish engulfing pattern has formed, a strong indicator of potential upward movement. This technical pattern is considered bullish, suggesting that the stock may experience a price rise. Given this setup, traders might consider buying this stock, setting a stop loss at ₹858 to manage risk. The target price for this trade is ₹910, providing an opportunity for gains as the stock continues to demonstrate bullish behaviour.

5] Tata Steel: Buy at ₹160, target ₹170, stop loss ₹154.

A notable bullish reversal pattern has emerged in the stock’s recent short-term trend analysis. This technical pattern suggests a temporary retracement in the stock’s price, potentially reaching around ₹170. The stock is currently maintaining a crucial support level at ₹154. A buying opportunity is emerging, given the current market price of ₹170. This suggests that investors consider purchasing the stock at its current price, anticipating a rise towards the identified target of ₹170.

Disclaimer: The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.