Stocks To Buy Today: Intraday BUY/SELL Calls By Sumeet Bagadia On Wednesday, 26th March

The previous session saw the Nifty index record its seventh straight positive finish, closing at 23,668.65, up 0.04% (+10.30 points), which encouraged traders to remain cautious. Meanwhile, Nifty Bank ended the day at 51,607.95, down 0.19% (-97.00 points). Fading uncertainty was shown by the India VIX, the main indicator of market volatility, which fell 0.47% to 13.65. It is anticipated that the market will maintain its positive inclination with minimal interruptions as long as volatility stays below 15.

Nifty Outlook Today

"Nifty encountered a stiff resistance zone near previous supply levels, leading to profit booking. Intraday charts indicate overbought conditions, while the formation of a Doji candle on the daily chart hints at a potential pause in the ongoing trend. However, unwinding of bearish bets by FPIs and strong base formation at lower levels suggest that demand remains robust on dips. The index is trading comfortably above key moving averages and significantly above its 10-day EMA, indicating that a mean reversion or time correction is due. Moreover, the index is well above its 200-day EMA, which will act as a fresh support zone in the coming sessions," said Dhupesh Dhameja, Derivatives Analyst, SAMCO Securities.

"The 23,400-23,450 range remains a solid support zone, bolstered by persistent put writing, flipping a previous resistance into a demand area. On the upside, the 23,780-24,000 zone has emerged as a critical resistance region, where strong Call writing and psychological barriers could act as hurdles. A sustained move above 23,800 could trigger short-covering and accelerated buying, fuelling bullish momentum toward 24,000. With Call writers fortifying resistance at higher levels and Put writers defending lower levels, traders should prepare for a phase of consolidation and profit-taking. As long as Nifty holds above 23,400, a Buy on Dips strategy remains the most favourable approach. Meanwhile, a breakout above 23,800 could unleash the next leg of the rally, potentially propelling the index toward 24,000," the analyst further added.

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Bank Nifty Outlook

"Nifty Bank is encountering stiff resistance near a previous supply zone, triggering profit booking. Intraday indicators remain in overbought conditions, suggesting a temporary pause in the ongoing trend. However, unwinding of bearish positions by FPIs and the formation of a strong support base signal that demand on dips remains intact. The index continues to trade well above key moving averages and remains significantly distanced from its 10-day EMA, hinting that a mean reversion and time-based correction are due. Currently, the index is positioned above its 200-day EMA, which is expected to act as a major support zone in the upcoming sessions. The 50,700-51,000 range has evolved into a robust base, reinforced by substantial put writing that has flipped prior resistance into a reliable demand zone," Dhupesh Dhameja commented.

"On the upside, 51,800-52,100 remains the next major resistance region, where persistent call writing and psychological barriers may pose challenges. However, a decisive move above 52,000 could trigger short-covering and intensified buying, fuelling further bullish momentum. With call writers adding significant resistance at higher levels and put writers holding ground at lower levels, traders should anticipate a consolidation phase accompanied by intermittent profit booking. As long as Nifty Bank holds above 50,700, a Buy on Dips strategy remains the most favourable approach. A breakout above 52,000 could unlock the next leg of the rally, propelling the index toward 52,500," the analyst stated.

Stocks To Buy Today

The executive director of Choice Broking, Sumeet Bagadia, advised purchasing two stocks on Wednesday, March 26, following the Nifty's breaking of the previous swing high of 23,807.30, set on February 25, 2024.

Jubilant FoodWorks

Buy JUBLFOOD in Cash @ Rs 668.25, Stop-loss @ 645, Target @ 715

JUBLFOOD is currently trading at ₹668.25, having recently rebounded from a key support zone. The stock is on the verge of breaking out from a falling trend on the daily timeframe. A successful breakout would confirm a reversal pattern, supported by rising trading volumes, indicating strong buying interest.In the short term, JUBLFOOD appears well-positioned to target ₹715, with the Relative Strength Index (RSI) at 57.16, signaling a strengthening trend and potential for further upside.

Additionally, the stock is trading comfortably above its 20-day, 50-day, and 200-day Exponential Moving Averages (EMAs), reinforcing the prevailing uptrend. Sustaining above the critical resistance level of ₹698 could provide an ideal entry point for long positions.

Traders may consider entering at the current price of ₹668.25, aiming for a target of ₹715 while placing a stop-loss at ₹645 to manage risk effectively. While the technical setup remains promising, traders should be mindful of potential short-term volatility and adhere to disciplined risk management strategies.

Bajaj Finserv

Buy BAJAJFINSV in cash @ Rs 1945.05, Stop-loss: Rs 1877, Target: Rs 2081

BAJAJFINSV showcases a strong bullish momentum, evident from a substantial upward movement and a significant closing around ₹1945.05. The stock has been experiencing robust buying interest, the stock has shown consistent higher highs and higher lows, a classic pattern of a strong uptrend.

Notably, the trading volume during upward price movements has been substantial, reinforcing the strength of the rally. In recent sessions, BAJAJFINSV is getting stabilized and moving towards its all time high target of ₹2030, indicating consolidation and a potential setup for another breakout.

Key technical indicators, particularly the Relative Strength Index (RSI), emphasize the stock's positive momentum. The RSI not only signals positive trends but also aligns with the stock trading above crucial moving averages, including the 20-day, 50-day, and 200-day Exponential Moving Averages (EMA). This convergence underscores the sustained strength in BAJAJFINSV price action.

The trend remains bullish, with this upward price action also indicates strong interest and a potential continuation of the rally if the momentum sustains a bullish outlook for BAJAJFINSV. Traders and investors may find this analysis indicative of potential continued upward momentum in the stock.

Based on the above analysis we recommend buying BAJAJFINSV in cash at CMP of 1945.05 for the target of 2081 with a stop loss of 1877.

Disclaimer

The recommendations made above are by market analysts and are not advised by either the author, nor Greynium Information Technologies. The author, nor the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.