Trade setup for Friday
Speaking on the outlook for Nifty today, Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, said, “The short-term trend of the Nifty 50 index continues to be positive amidst high volatility. Having recently moved above the hurdle of 22,250 levels (midpart of Tuesday’sTuesday’s long bear candle), the Nifty could move towards the next upper hurdle of 23,200 (upper part of the long bear candle) in the near term. Immediate support for Nifty today is placed at 22,640 levels.”
Also Read: Buy or sell: Vaishali Parekh recommends three stocks to buy today — June 7
On today’s outlook for the Bank Nifty, Om Mehra, Technical Analyst at SAMCO Securities, said, “The Bank Nifty ended the session at 49,291.90, up by 0.48%. It is currently holding above the 20-day and 50-day moving averages. The index closed above the 61.8% Fibonacci retracement, which remains at 49,180, providing a solid base. The immediate resistance is placed at 49,700, and crossing this level might push the index to the 50,200 – 50,350 levels. The daily chart’s Relative Strength Index (RSI) has yet to show a positive crossover; once this occurs, we can expect a stronger bullish momentum to follow.”
Asked about the reason for a rally on Dalal Street, Siddhartha Khemka, Head of Retail Research at Motilal Oswal, said, “Investors heaved a sigh of relief as the confidence strengthened post two key allies pledged their support to form a new government with the BJP. Even global factors contributed to today’s rally as hopes revived for a rate cut possibility in the US Fed’s September meeting after weaker-than-expected jobs data. All eyes will be on government formation this weekend along with RBI policy outcome and commentary today.”
Buy or sell stock ideas by experts
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, recommended five buy or sell stocks.
Sumeet Bagadia’sBagadia’s stocks to buy today
1] VA Tech Wabag: Buy at ₹1078, target ₹1150, stop loss ₹1035.
VA Tech Wabag is exhibiting bullish solid momentum, trading at an all-time high of ₹1087. The recent breakout above the crucial resistance at ₹1040 levels is a significant technical development supported by robust trading volumes, reinforcing the strength of the stock. The breakthrough suggests a potential continuation of the upward trend, offering an optimistic outlook for investors.
2] Infosys: Buy at ₹1472.25, target ₹1545, stop loss ₹1435.
Infosys share, currently trading at ₹1472.25, has recently broken out above ₹1454 and formed a strong bullish candle on the daily chart. The immediate support is near the ₹1435 level, which is also close to its short-term (20 Day) EMA levels, and the current price is exhibiting bullish solid momentum, expected to continue towards the ₹1545 level.
Ganesh Dongre’sDongre’s buy or sell stocks
3] SBI: Buy at ₹818, target ₹850, stop loss ₹800.
We have seen significant support in this stock of around ₹800. So, at the current juncture, the stock has again seen a reversal price action formation at the ₹818 price level, which may continue its rally till its next resistance level of ₹850. So, traders can buy and hold this stock with a stop loss of ₹800 for the target price of ₹850 in the near term.
4] BHEL: Buy at ₹277, target ₹295, stop loss ₹265.
In the short-term trend, the stock has seen a bullish reversal pattern; technically, reduction could be possible till ₹295. So, holding the support level of ₹1355, this stock can bounce toward the level of ₹295 in the short term. Hence, the trader can go along with a stop loss of ₹265 for the target price of ₹295.
5] Bandhan Bank: Buy at ₹191, target ₹200, stop loss ₹185.
We have seen significant support in this stock, around ₹185. So, at the current juncture, the stock has again seen a reversal price action formation at the ₹191 price level, which may continue its rally till its next resistance level of ₹191. So, traders can buy and hold this stock with a stop loss of ₹185 for the target price of ₹200 in the near term.
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.
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Published: 07 Jun 2024, 07:30 AM IST
