Trade Call: Sumeet Bagadia Recommends 2 Stocks To Buy/Sell On Thursday, 30th Nov

Indian benchmark indices ended on a green note on Wednesday amid the easing of geopolitical tensions and crude oil prices. The Nifty surged 206.90 points, or 1.04 per cent, to close at 20,096.60, while the Sensex gained 727.71 points, or 1.10 per cent to settle at 66,901.91 level.

Hero MotoCorp, M&M, Axis Bank, Wipro, and HDFC Bank were the top gainers on the Nifty, while ONGC, Nestle India, Eicher Motors, Adani Enterprises, and Divis Lab were the top losers. On the broader market front, BSE Midcap index surged 0.78% while the small-cap index gained 0.40%. With the exception of real estate and consumer durables, every sectoral index had a positive wrap-up, with information technology, banks, and automobiles leading the way.

Market Outlook Today

Arvinder Singh Nanda, Senior Vice President, Master Capital Services Ltd said, "The Nifty index surged past the psychological milestone of 20,000 points, attaining a 10-week high and registering a noteworthy 5% uptick this month. This commendable upswing in the index can be attributed to a confluence of factors.

Firstly, uncertainties surrounding a potential U.S. interest rate hike have been eased by a series of dovish signals from Federal Reserve officials. Additionally, the resurgence of FII buying and a substantial buying of domestic investors, injecting a robust 11,139 crores into the cash segment this month, have played pivotal roles in propelling the index. The buoyant sentiments of the market are poised to endure, with the anticipation of scaling fresh all-time highs in the coming month.This optimism is underpinned by vigorous buying activities in the Information Technology and banking sectors, which collectively command a weightage of 51.50% in the Nifty 50 index."

"Furthermore, the Bombay Stock Exchange (BSE) has achieved a historic milestone, with its market capitalization crossing the $4 trillion mark for the first time. This expansion is poised to sustain momentum as the prospect of foreign investors redirecting their investments towards India, spurred by this dovish stance, serves as a compelling catalyst for the continued growth of the Indian equity market. Nifty is likely to face resistance near 20220 which if broken then 20340 will act as the next resistance. Bank Nifty may face resistance near 44750, and then 45000," added the analyst.

Aditya Gaggar Director of Progressive Shares said, "The bulls dominated today's trade by breaching the resistance levels in one go and settled at 20,096.60 with gains of 206.90 points. Among the sectors, Auto and BankNifty participated the most in the rally while marginal pressure (profit booking) was observed in the Realty space. The Tech sector also performed well by ending the session with gains of 1.53%. The Index has formed a big positive candle on the daily chart which suggests continuation of the current move and is likely to register a fresh high in the coming days. The immediate resistance comes at the record levels i.e. 20,200 while the downside is protected at 19,915."

Nifty Outlook Today

Rupak De, Senior Technical analyst at LKP Securities said, "Nifty moved up smartly as the bulls remained at the helm following a consolidation breakout on the daily chart. Besides, the index is sitting comfortably above the crucial short-term moving average. The overall trend looks positive with broader market participation and a smart recovery in the Bank Nifty. Over the short term, the Nifty might move towards 20450-20500 unless it falls below 19850."

Bank Nifty Outlook Today

Kunal Shah, Senior Technical & Derivative analyst at LKP Securities said, "The Bank Nifty witnessed a robust comeback by the bulls, driving the index up by over 700 points. Currently, in a strong buy mode, the index has established a solid support base within the 44300-44200 zone, providing a cushion for bullish sentiment. The next significant hurdle for the index is at 44700, and its ability to decisively surpass this level will determine whether a period of consolidation is in store for the near term."

Stocks To Buy Today

Choice Broking's executive director, Sumeet Bagadia, recommended buying two large-cap stocks on Thursday, November 30. The entry price, stop loss, and target price for Ambuja Cements and Tech Mahindra are listed here.

Tech Mahindra

Buy TECHM in cash @ Rs 1221.70, stop-loss: Rs 1185, target: Rs 1290

TECHM, a leading technological business, has shown a bounce back from the support 1185 levels which are also close to its 20 and 50 Day EMA levels. The stock is currently trading at 1221.70 per share. The stock is trading above its 20, 50 and 200-day moving averages, indicating a positive mood. A modest resistance is at 1250 levels if the stock sustains above the mentioned resistance then we can witness additional upward momentum. The Relative Strength Index (RSI) is currently at 61 and rising, indicating more purchasing activity. This makes TECHM an appealing investment.

Investors should be cautious and keep a watch on the stock if it falls below 1185, as this could negate the positive outlook. A short-term target of 1290 is achievable.

Ambuja Cements

Buy AMBUJACEM in cash @ Rs 435.65, stop-loss: Rs 417, target: Rs 470

AMBUJACEM is currently trading at Rs 435.65, having experienced a breakout from a daily falling trendline after consolidating at a support level. This breakout is accompanied by robust trading volume and has formed a hammer candlestick pattern, indicating strong bullish momentum in the stock. Furthermore, the stock is positioned above key Exponential Moving Averages (EMAs), including the 20-day, 50-day, 100-day, and 200-day EMAs.This alignment above crucial EMAs strengthens the bullish outlook, suggesting the potential for sustained upward price movement.

The Relative Strength Index (RSI) is presently at 68.5 and is trending upwards, signalling increasing buying momentum. Additionally, the Stochastic Relative Strength Index (Stoch RSI) has shown a positive crossover from the oversold region, further contributing to the bullish sentiment. The confluence of these technical indicators implies that AMBUJACEM may have the potential to reach a target price of Rs 470 in the near term. It is advisable to consider buying on dips, particularly near Rs 425.

To effectively manage risk, it is advisable to implement a stop-loss (SL) at Rs 417. This measure is crucial to safeguard your investment in the event of an unexpected market reversal. In summary, considering the technical analysis and current market conditions, AMBUJACEM appears to present an attractive buying opportunity for those aiming for a Rs 470 price target, provided that prudent risk management measures are in place.

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.