Renaissance Global Or Hindustan Aeronautics: 2 Intraday Picks By Sumeet Bagadia On 17th October

The Indian benchmark indices began the day lower than expected, mirroring global cues on Wednesday. Nifty opened the day lower than it began and moved in a tight range until wrapping up lower at 24,971. Bank Nifty started off negatively, but buying interest eventually materialised before being lost. Bank Nifty ended the day flat to negative at 51,801 as a result. India VIX increased a little to 13.05. Because reduced volatility frequently draws buyers to the market, the likelihood of positive momentum improves when VIX levels remain below 15.

Nifty Outlook Today

"Technically, on the daily chart, the index formed a small red candle, indicating selling pressure at higher levels. On the upside, the 21-Days Exponential Moving Average (21-DEMA) is positioned near 25,230, which will act as an immediate hurdle, followed by 25,400. On the downside, immediate support is placed near 24,900, followed by 24,700. In the short term, the index is expected to consolidate within the range of 24,700-25,400," said Hrishikesh Yedve, AVP Technical and Derivatives Research at Asit C. Mehta Investment Interrmediates Ltd. (A Pantomath Group Company).

Bank Nifty Prediction Today

"Technically, on a daily scale, the index formed a shooting star candle. In the short term, Bank Nifty will face resistance near 52,030. If the index sustains above this level, it could attempt to test the higher levels of 52,500-52,800. On the downside, 51,000 offers strong support, where the 100-Days Exponential Moving Average (100-DEMA) is placed. As long as the index holds above 51,000, a "buy on dips" strategy is advisable," predicted Hrishikesh Yedve.

Stocks To Buy Today

On Friday, October 17, Sumeet Bagadia, executive director of Choice Broking, recommended buying two stocks after Nifty's outlook is still cautiously bearish and is limited between the 24,900 support level and the 25,250 resistance level.

Renaissance Global

Buy RGL in Cash @170.08, stop-loss @ 164, target @ 182

RGL is currently trading at Rs 170.08 and showing a robust bullish trend. The stock has recently broken out of a rounding bottom pattern, signaling a bullish reversal from a key support zone. This breakout is supported by a notable surge in trading volumes, highlighting increased buying interest among investors. With this momentum, RGL seems poised for further gains in the short term, with a potential target of Rs 182.

The Relative Strength Index (RSI) stands at 76.56, indicating strong buying momentum and a healthy uptrend. Additionally, the stock is trading above its 20-day, 50-day, and 200-day Exponential Moving Averages (EMA), further affirming the ongoing positive trend. If RGL sustains above the key resistance level of Rs 175, it may provide a favorable entry point for long positions.

Traders can consider buying RGL at the current price of Rs 170.08, with a target of Rs 182. To manage risk, a stop loss should be set at Rs 164, considering potential short-term volatility. This setup presents a compelling opportunity for traders, backed by both technical indicators and market momentum.

Hindustan Aeronautics

Buy HAL in Cash @4656.25, stop-loss @ 4494, target @ 4982

HAL is currently trading at Rs 4656.25, reflecting a strong bullish trend. The stock has recently broken out of a falling wedge pattern, signaling a significant bullish reversal from a key support zone. This breakout, supported by increased trading volumes, highlights strong buying interest among investors. A sustained move above the critical resistance level of Rs 4700 would further validate this bullish outlook, paving the way for higher price targets, including Rs 4982.

The Relative Strength Index (RSI) stands at 58.85, indicating a healthy uptrend with potential for further growth. Additionally, the stock is trading comfortably above its 20-day, 50-day, and 200-day Exponential Moving Averages (EMA), reinforcing the continuation of its positive momentum.

Traders may consider buying HAL at current levels, with a target of Rs 4982. To manage downside risk, it's advisable to set a stop loss at Rs 4494. While the technical setup is positive, some short-term volatility may occur, so traders should remain cautious and monitor market conditions closely.

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.