Breakout stocks to buy or sell: Following a sell-off in the global markets on renewed US recession fear, the Indian stock market snapped its five-day winning steak on Friday. The Nifty 50 index crashed 311 points and closed at 24,699. The BSE Sensex tanked 885 points and ended at 80,981, whereas the Bank Nifty index corrected 226 points and finished at 51,337.
Sumeet Bagadia, Executive Director at Choice Broking, believes that global markets may continue to reel under the selling pressure after sharp selling on Wall Street on Friday. Bagadia advised investors to remain vigilant about the critical levels as the Indian stock market is expected to remain highly volatile when it opens on Monday. Bagadia said that the Nifty today has crucial support placed at 24,400, and one can expect a bounce back if this support remains sacrosanct. If the 50-stock index breaches below this support decisively, then Dalal Street sentiment may become weak.
Sumeet Bagadia’s stocks to buy today
Speaking on the outlook for the Indian stock market today, Sumeet Bagadia said, “The Indian stock market mood has turned cautious after strong selling on Friday. Sharp selling was witnessed in the European and the US stock markets, which may dominate the Asian stock market today, especially in the first few hours. So, the Indian stock market is expected to remain highly volatile and knowing the important levels will be important. The Nifty 50 index has crucial support at 24,400 while 25,000 is expected to remain a crucial resistance for the 50-stock index.”
Sumeet Bagadia of Choice Broking advised a stock-specific approach and suggested buying these five breakout stocks today: SJS, GHCL, Khaitan Chemicals, Ruby Mills, and Pokarna.
Sumeet Bagadia’s stock recommendations for today
1] SJS: Buy at ₹984, target ₹1030, stop loss ₹945;
2] GHCL: Buy at ₹630, target ₹660, stop loss ₹608;
3] Khaitan Chemicals: Buy at ₹91.75, target ₹96, stop loss ₹88;
4] Ruby Mills: Buy at ₹262.40, target ₹275, stop loss ₹252; and
5] Pokarna: Buy at ₹771, target ₹805, stop loss ₹745.
Disclaimer: The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.