Chandan Taparia of Motilal Oswal Recommends 2 Stocks To Buy Or Sell On Thursday, 6th July

Thursday's pre-opening session saw the Sensex tumble by 60 points and the Nifty fall below 19,390. Nifty June future concluded at 19466.85 on Wednesday, a premium of 68.35 points over the previous session's discount of 72.20 points. The India VIX climbed from 11.70 to 11.88 levels by 1.56%. Nifty Put/Call Ratio (OI) declined from 1.47 to 1.37 level on Wednesday's closing session, while Bank Nifty futures OI dropped by 2% to 29.79 Lakhs and Nifty futures OI climbed by 1.89% to 1.17 Cr.

Commenting on the outlook of Nifty today, Chandan Taparia, Derivatives & Technical Analyst of Motilal Oswal said, Nifty immediate support at 19250 then 19100 zones while resistance at 19450 then 19500 zones. Now it has to continue to hold above 19300 zones to extend the move towards 19450 and 19500 zones while on the downside support is intact at 19250 and 19100 zones.

"Bank Nifty support at 45000 then 44750 zones while resistance at 45500 then 45650 zones. Now it has to continue to hold above 45000 zones for an up move towards 45500 then its recent life high of 45650 zones while on the downside support shifts higher at 45000 then 44750 levels," he further added.

Market Outlook Today

"Hawkish signal by US Fed minutes of meeting and weak PMI data announced by China, may open domestic market on a flat to negative note. U.S. stocks ended lower on Wednesday after the minutes of the Federal Reserve's June meeting showed almost all policymakers expected additional rate hikes later this year. Both Dow Jones and Nasdaq Composite slipped 0.4% and 0.2% respectively after the minutes showed that policymakers decided against a rate increase amid concerns over economic growth," said Chandan Taparia.

"Asian shares followed Wall Street lower on Thursday after hawkish signals from the Federal Reserve's latest meeting minutes damped investor sentiment. Japan, South Korea, Australia, Hong Kong Index declined 0.5% to 1%. Expects momentum to continue on Auto stocks after yesterday close on a record high. Focus on sugar stock today on account of rising global sugar price due to adverse weather conditions in Brazil and Thailand," the analyst further added.

Stocks To Buy Today

Chandan Taparia, Derivatives & Technical Analyst of Motilal Oswal have recommended 2 stocks to buy today i.e. on Thursday, 6th July.

Technical Pick:

DLF

Buy at CMP of Rs 500, SL: Rs 490, Target Price: Rs 525, Duration: 2-3 Days

DLF has taken support at the 20 DEMA and it has formed a bullish candle on the daily scale which indicates buying interest in the counter. There is positive momentum in the entire realty sector which will support the up move. The momentum indicators are placed in the positive territory which will take the prices to higher zones, said Chandan Taparia.

Fundamental Pick:

HUL

Buy at CMP of Rs 2757, target price: Rs 3100, timeframe: 1 year

FMCG revenue is expected to grow by 7-9% in FY24 on the back of high volumes. We maintain a positive outlook on HUL based on continued market share gains. HUL's focus on driving premiumization across categories is standing it in good stead, said Chandan Taparia.

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.