Stocks To Buy Today: Intraday BUY/SELL Calls By Sumeet Bagadia On Wednesday, 1st Jan

The Nifty index ended Tuesday's last trading day of 2024 on a muted note, closing flat at 23,644.80, unaltered by a percentage of -0.10 points. While Nifty Bank ended the last trading session of 2024 on a dismal note, falling by 0.18% (-92.55 points) to conclude at 50,860.20 after reaching an intraday high of 50,945.55. The India VIX, a measure of market volatility, increased by 3.33% to 14.48, suggesting that participants are becoming more cautious. The VIX is still below the critical 15 level despite the increase, suggesting a cautious view. For the time being, nevertheless, it seems unlikely that there will be a prolonged upward breakthrough.

Nifty Outlook Today

"Nifty index continues to trade in a tight sideways range, with narrow price action and recurring indecisive candlestick patterns highlighting the absence of a definitive trend. The 23,500-24,000 range, marked by substantial open interest additions in both puts and calls, reinforces the prevailing deadlock. Currently trading below the 200-DEMA and near its major support zone of 23,500, the index faces potential headwinds at current levels. On the upside, the 23,900-24,000 region, reinforced by heavy call writing, presents a stiff challenge for the bulls. Conversely, the 23,500-23,550 range, bolstered by significant put writing and a vital swing low, provides reliable support. A breakout above 24,000 could trigger short-covering, driving the index toward 24,500. On the downside, a decisive breach below 23,500 could accelerate bearish momentum, dragging the index toward the 23,150-23,000 region, where strong put writing offers additional defence. Until a breakout occurs on either side, adopting a cautious "range trading" strategy remains prudent," commented Dhupesh Dhameja, Derivatives Analyst, SAMCO Securities.

Bank Nifty Outlook Today

"Nifty Bank continues to trade within a narrow range, reflecting indecision. The repeated formation of neutral candlestick patterns reinforces the sideways trend. With the index hovering near the 50,500-50,450 support zone, aligned with the 200-DEMA, buying interest is expected to sustain above these levels. However, recovery attempts are likely to face resistance near the 51,200-51,500 band, which has been bolstered by heavy call writing. A decisive breakout above the 51,500 resistances could spark a short-covering rally, potentially driving the index toward the 52,000 mark. On the downside, a breach below 50,700 might trigger bearish momentum, dragging the index to the 50,000-50,200 support region, where significant put writing provides a cushion. Until a clear breakout occurs on either side, the index is expected to remain range-bound, making a "range trading" strategy the most prudent approach for now," commented Dhupesh Dhameja.

Stocks To Buy Today

On Wednesday, January 1, Choice Broking's executive director, Sumeet Bagadia, suggested purchasing two stocks since the Nifty's overall trend is still sluggish and the index is below its 200 DMA, indicating a cautious outlook.

Lupin

Buy LUPIN in cash @ 2355.7, Stop-loss @ 2265, Target @ 2525

LUPIN is exhibiting strong bullish momentum, currently trading at an all-time high of 2373.9 levels. The chart depicts a healthy uptrend backed by improving sentiment. The stock has maintained a strong upward momentum, as highlighted by the series of higher highs and higher lows. Recently, the price has approached Rs 2355.7, riding the wave of bullish strength. supported by robust trading volumes, reinforcing the strength in the stock.

Additionally, LUPIN is trading above key moving averages, including the short-term (20 Day), medium-term (50 Day), and long-term (200 Day) EMAs, further affirming its bullish stance. The momentum indicator, Relative Strength Index (RSI), is at 74.78 levels.

For traders, keeping an eye on the strong support near 2265 levels is advisable, as a breach of this level could signal a shift in sentiment. Overall, LUPIN current technical setup suggests a favourable environment for further upside potential, provided traders and investors remain vigilant to potential reversals and closely monitor key support and resistance levels.

Based on the above analysis we recommend buying LUPIN and the CMP of 2355.7 with a stop loss of 2265 for the target of 2525.

Muthoot Finance

Buy MUTHOOTFIN in cash @2136.15, Stop-loss: 2055, Target: 2300

MUTHOOTFIN is presently trading at 2136.15 levels. On the daily chart, the stock has formed a strong bullish momentum candle, signifying a resurgence of strength in its price action.

A robust support level is situated at 2055 levels. This confluence of support factors enhances the stock's stability and resilience.

Furthermore, MUTHOOTFIN is trading above all the important moving averages, which underscores its overall bullish posture and trend.

The Relative Strength Index (RSI), a momentum indicator, is hovering around 65.28 levels. This RSI reading suggests that the stock possesses considerable strength and also It signifies a healthy and sustainable uptrend.

A minor resistance level is noticeable in the vicinity of 2150 levels. Once the stocks successfully surpass this resistance, it has the potential to advance towards the target level of 2300. This could present a favourable trading opportunity for investors and traders alike.

Based on the above analysis we recommend buying MUTHOOTFIN at CMP of 2136.15 with a SL of 2055 for the target of 2300.

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.