Sumeet Bagadia of Choice Broking Recommends 2 Stocks To Buy Today, 25th Aug

On a volatile day on August 24, benchmark indices declined at the close due to subpar global cues. The Nifty was down 57.30 points or 0.29 percent at 19,386.70 at closing, and the Sensex was down 180.96 points or 0.28 percent at 65,252.34. Reliance Industries, Grasim Industries, ONGC, Power Grid Corp, and JSW Steel were among the top Nifty losers, while Asian Paints, IndusInd Bank, Infosys, and Britannia Industries were among the top gainers. On a sectoral point, the information technology index climbed by 0.5 percent whereas the auto, capital goods, PSU Bank, oil & gas, pharma, and metal sectors all had declines of 0.3-0.7 percent. The broader market ended on a flat note as BSE midcap and smallcap indices gained by 0.11% and 0,21% respectively.

Market Outlook Today

Commenting on the outlook of Nifty, Rupak De, Senior Technical analyst at LKP Securities said, "The Nifty remained under the bear's grip as selling pressure emerged around the day's high, resulting in a decline below 19500. On the upper side, resistance is expected to persist in the range of 19450-19500. A definitive breakout or a closing above 19500 could potentially trigger a rally in the index. On the lower side, there is immediate support at 19300; a drop below this level might lead to panic in the market."

Commenting on the outlook of Bank Nifty, Kunal Shah, Senior Technical & Derivative analyst at LKP Securities said, "The Bank Nifty index recently encountered selling pressure from elevated levels and is now displaying indications of range-bound trading. The range of movement seems to be established between 44000 and 45000, a zone where substantial put and call writing activities are evident. In the current scenario, the index's immediate support lies at 44200. If this support level is effectively maintained, the index could potentially experience a recovery, driving it towards levels of 44800 and 45000."

Stocks To Buy Today

Sumeet Bagadia, Executive Director of Choice Broking has recommended the below stocks to buy today i.e. on Friday, 25th August.

Marico

Buy MARICO in Cash @ Rs 563.50, Stop-loss: Rs 550, Target: Rs 585

The stock is currently trading at 563.50 levels. The stock has bounced back from the strong support of 550 levels which is also 50 Day EMA levels. Currently stock is trading above all the important moving averages. The stock has strongly moved on the higher side and hence we can witness a breakout on charts. This breakout is supported by good volumes which indicate strength. Now any dip in the stock around 555 levels will be a buying opportunity. A small resistance can be witnessed near 567 levels, and once stock crosses the mentioned level MARICO can now further move towards 585 levels and higher. The investors holding from lower levels should keep trailing stop loss.

According to the aforementioned technical analysis, we advise buying MARICO at a CMP of 563.50 for the target of 585. If the stock closes below 550, our analysis will be invalid.

Hindustan Petroleum Corp

For the past few weeks, the stock has been trading in a narrow range. Seems the stock has taken a pause after the decent rally. Considerably we can say that can be an accumulation phase as there is a lesser movement in a short time frame. According to Fibonacci retrenchment, the price action is still resilient and sustaining above 0.618 percent. The RSI is gradually trending higher, indicating increasing buying interest. Additionally, the price has bounced back from lower Bollinger Band as well.

One can initiate a long position at cmp 264.8 for the target price of 273. SL can be kept as 260.

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.