Sumeet Bagadia of Choice Broking Recommends 2 Stocks To Buy Or Sell On Tuesday, 20th June

The market moved negatively on Monday, with the Sensex was down 0.34 percent and ended at 63168.30, the Nifty plummeted by 0.37 percent intraday and closed at 18755.45, and the Bank Nifty dropped 0.69 percent and ended the day at 43633.75. The Nifty IT, Nifty PSU BANK, and Nifty PHARMA sectors all ended in the green, whilst the Nifty AUTO, Nifty FMCG, and Nifty METAL sectors all ended on the downside. The most notable gainers among Nifty stocks were HDFCLIFE, BAJAJ FINANCE, and TECHM, while the top losers were KOTAK MAHINDRA BANK, ADANI ENTERPRISE, and AXIS BANK.

Analysts claim that the key reasons Sensex and Nifty 50 failed to hit their all-time highs on Monday are FIIs and DIIs who emerged as net sellers on Monday. Foreign institutional investors (FIIs) sold Indian equities for close to Rs 1,031 crore; while, DIIs sold stocks for Rs 365 crore. According to NSE statistics, FIIs purchased Indian shares for Rs 8,354.90 crore on June 19th, while they sold them for Rs 9,385.80 crore, which represents an outflow of Rs. 1,030.90 crore as a result. Whereas domestic institutional investors (DIIs) made stock purchases totaling Rs. 6,412.20 crore and stock sales of Rs. 6,777.40 crore, representing a net outflow of Rs. 365.20 crore.

On Friday the Nifty failed by 6.20 points to establish a new all-time high above 18887.60. For investors, the market is still buying on dips with a strict stop loss of 18550, and if the Nifty closes below the indicated level, we can expect more downward pressure, said Sumeet Bagadia - Executive Director - Choice Broking.

Stocks To Buy Or Sell On Tuesday, 20th June

Here are the two stocks to buy today on Tuesday, 20th June, as recommended by Sumeet Bagadia - Executive Director - Choice Broking.

Bank of India

BANKINDIA has been displaying a consolidation pattern, finding support at its previous level over the past three weeks. Recently, the stock managed to surpass a minor resistance level at 75, accompanied by increased trading volume. Additionally, the stock's closing price has risen above its 20-day moving average (DMA), which further strengthens the bullish outlook. The RSI has been steadily mounting, surpassing its previous range of 45. Moreover, the price has also exceeded the middle Bollinger band, indicates bullishness in trend. One can initiate a long position at cmp 75.15 for the target price of 79. SL can be kept as 73.

Escorts Kubota

Buy ESCORTS in cash @ Rs 2192.90, SL Rs 2125, target price Rs 2300

ESCORTS have bounced back from the strong support of 2150, which is also a 20 Day EMA. The stock's minor resistance is located close to the 2230 levels. ESCORTS can climb upwards towards higher levels near to 2230 after the stock overcomes the noted resistance. The fact that the RSI indicator is comfortably trading near 63 levels suggests that the present rebound can continue and that the stock may continue to rise. With a medium-term goal price of 2300 we advise purchasing ESCORTS at the current market price of 2192.90. If the price closes below 2125, our analysis will be regarded as being invalid.

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.