STOCK MARKET TODAY: TRADE SETUP FOR NIFTY TO SENSEX, FOUR STOCKS TO BUY OR SELL ON TUESDAY — MAY 7

Stock market today: Despite positive global market cues, the Indian stock market ended lower after a highly volatile session on Monday. The Nifty 50 index lost 33 points and finished at 22,442, while the BSE Sensex ended marginally higher at 73,895. The Bank Nifty index went off 28 points and closed at 48,895. However, the broad market indices fell more than the frontline indices even as the advance-decline ratio fell sharply to 0.45:1.

Trade setup for Tuesday

On the outlook for Nifty today, Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, said, "The short-term trend of Nifty remains negative as long as the support of 22300 holds, an upside in the market is possible. A move below the support could open more weakness in the short term."

On the outlook for the Bank Nifty today, Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities, said, "The BankNifty index underwent a sideways trading session, with bulls successfully defending the support zone around 49000-48900. Immediate resistance is noted at 49300, and a decisive breakthrough could trigger short-covering moves towards 49500. Conversely, a significant breach of the 48900 mark may induce further selling pressure towards 48400, where the 20DMA is positioned."

Vaishali Parekh, Vice President — Technical Research at Prabhudas Lilladher, believes immediate support for Sensex/Nifty today is placed at 73400/22300, while the resistance is at 74300/22600. The Bank Nifty would have a daily range of 48400–49400 levels.

Buy or sell stock ideas by experts

Asked about stocks to buy today, stock market experts — Sumeet Bagadia, Executive Director at Choice Broking, Ganesh Dongre, Senior Manager — Technical Research t Anand Rathi, and Drumil Vithlani, Technical Research Analyst at Bonanza Portfolio — recommended four stocks to buy or sell on Tuesday.

Sumeet Bagadia's stocks to buy today

1] Balkrishna Industries: Buy at ₹2465, target ₹2610, stop loss ₹2398.

Balkrishna Industries share is currently valued at ₹2465. A recent formation of a Cup & Handle pattern on the daily chart, coupled with robust trading volume, indicates a strong upward trajectory in the stock. The Relative Strength Index (RSI) presently stands at 63.4 and is trending upwards, suggesting a significant surge in buying momentum. RSI and Stochastic RSI are in the overbought region, indicating that positional traders may consider holding their positions and implementing a trailing stop-loss.

2] Brigade Enterprises: Buy at ₹1110, target ₹1166, stop loss ₹1077.

Brigade Enterprises share is currently trading at ₹1110.05. After minor falls and sideways consolidation, the stock has lately broken the neckline levels of ₹1077 and is rising quickly on the upside with substantial volume. There are expectations of further upward movement, potentially reaching ₹1166 levels. On the downside, considerable support is evident at nearly ₹1077.

Furthermore, Brigade Enterprises shares are trading above crucial Exponential Moving Averages (EMAs), including 20-day, 50-day, 100-day, and 200-day EMAs. This suggests a strong bullish momentum, indicating the potential for continued upward price action. The Relative Strength Index (RSI) stands at 69.92, signalling an upward trajectory and confirming an increase in buying momentum.

Ganesh Dongre's stock of the day

3] Coal India: Buy at CMP, target ₹490, stop loss ₹430.

Coal India shares have made an immediate base at ₹430, which may soon touch ₹485 to ₹490.

Drumil Vithlani's buy or sell stock

4] Jubilant Food: Buy at ₹473 to ₹474, target ₹485, stop loss ₹467.

Jubilant Food share is seen to break out of the Rectangle pattern on the daily time frame and make a bullish candlestick, which is why a buy recommendation is initiated for targets up to ₹485. One can initiate buy-on dip in the range of ₹472 to ₹473 with stop loss below ₹466 on a daily closing basis.

Disclaimer: The views and recommendations provided in this analysis are those of individual analysts or broking companies, and not Mint. We strongly advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and individual circumstances may vary.

2024-05-07T02:22:10Z dg43tfdfdgfd