Chandan Taparia of Motilal Oswal Recommends 2 Stocks To Buy Today, 29th Aug

On Monday, Nifty wrapped up at 19306 levels, 40 points higher, thanks to positive global cues. Nifty August future ended at 19321.30, a 15.25 point premium over the previous session's 15.50 point discount. Bank Nifty futures OI rose by 3.71% to 22.79 lakhs, while Nifty futures OI jumped by 1.75% to 1.36 crore. The Nifty Put/Call Ratio (OI) rose from a level of 0.83 to 0.99. India VIX climbed by 2.63% from levels of 12.08 to 12.39. The GIFT Nifty is currently trading 14 points higher, giving a positive indication for the home market.

Nifty Prediction

Commenting on the outlook of Nifty today, Chandan Taparia, Derivatives & Technical Analyst of Motilal Oswal said, Nifty immediate support at 19250 then 19200 zones while resistance at 19444 then 19580 zones. Now till it holds below 19350 zones, weakness could be seen towards 19250 then 19200 zones whereas hurdles are placed at 19444 then 19580 zones.

Bank Nifty Prediction

Bank Nifty support at 44250 then 44000 zones while resistance at 44750 then 45000 zones. Now it has to continue to hold above 44250 zones to witness a bounce towards 44750 then 45000 zones while on the downside support is seen at 44250 then 44000, stated Chandan Taparia.

Market Outlook

Positive opening in the Asian markets and overnight smart gain in the US markets may open domestic bourses on a strong note. Asian markets surged between 1-3% in the last two days after China cut the stamp duty on stock trading by fifty per cent, for the first time since 2008. Moreover, expectation of China to announce stimulus to boost its economy. US equities rose on Monday up to 1% as investors continued to mull central bankers' comments at the Federal Reserve symposium in Jackson Hole late last week while awaiting key economic data in the coming days, said Chandan Taparia.

Stocks To Buy Today

Chandan Taparia, Derivatives & Technical Analyst of Motilal Oswal has recommended 2 to buy today i.e. on Tuesday, 29th August.

Technical Pick:

Federal Bank

Buy at CMP of Rs 144, stop-loss: Rs 140, target: Rs 152, duration: 2 to 3 days

Federal bank has given trend line breakout on daily chart , retested the same and inched higher. It formed a strong bullish candle with noticeable volumes which has bullish implications. The momentum indicators are placed in the positive territory which may take the price to higher zones.

Fundamental Pick:

Chandan Taparia has a positive outlook on L&T as the company vetted to potentially bid in India's efforts to privatise its small satellite launch rocket, as the government seeks more investment in the booming space market.
Also, the company has received shareholder approval for a proposal to buyback shares of up to Rs 10,000 crore with 12th Sep being the record date. L&T is a great stock to play Indian capex and infra theme, 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.