Trade Call: Day Trading Stock Recommendations By Sumeet Bagadia On Friday, 19th July

Thursday saw a decline in domestic benchmark indices as a result of mixed global cues. Consequently, the Nifty saw a low of 24,504 but then experienced a robust rebound, setting a new record high of 24,837.75 before ending the day higher at 24,801 levels. The Bank Nifty index had a sharp decline at opening, and continued to be hammered in the early hours of the day, but then saw a robust comeback and ended the day at 52,621 levels. The Nifty Midcap 100 and Nifty Small Cap 100, which measure the overall market, underperformed and ended the day lower by 0.96% and 1.22%, respectively. Next week, investors' attention will be focused on the budget, which could influence market mood. On Friday, 19th July market watchers will closely watch Reliance Industries, Wipro, JSW Steel, BPCL, JSW Energy, Union Bank of India, ICICI Lombard General Insurance Company, Indian Hotels Company, Oberoi Realty, Patanjali Foods, Nippon Life India Asset Management and One 97 Communications Paytm as these company will declare their Q1 results today.

Remarkable Weekly Expiry For Nifty, Propelling To 24800

Osho Krishan, Senior Analyst - Technical & Derivatives, Angel One said, "The Indian equity market experienced a remarkably positive trading day, with the Nifty50 benchmark index reaching a new milestone of 24800. Despite initial concerns caused by weak global cues, the market demonstrated resilience and confidence as the day progressed. The latter half of the session saw a strong upward movement, and the Nifty soared to settle at the 24800 marks, securing a gain of 0.76 percent."

"The bullish candlestick formation at the record high signifies the buoyant undertone. However, there have been some divergences in the advance-decline ratio and the actual market movement that raise concerns at current levels. Technically, the benchmark index is firmly withholding its ground even at overly stretched parameters, mainly driven by a strong sectoral performance but one must maintain caution and refrain from complacent bets. Thematic movers are still in the play, providing thrust, and hence, staying fussy in stock selection with a thematical approach is advisable for the traders' fraternity. As far as levels are concerned, the 24500 is now expected to provide strong support, before which some cushioning to upcoming blips could be seen around the 24650 subzones. On the higher end, it's challenging to anticipate the exact resistance zone, but achieving the milestone of 25000 is now seen as a significant target for the bulls, especially in the context of the pre-budget rally," Osho Krishan further added.

Stocks To Buy Today

Based on the conclusions of a technical analysis, Choice Broking's executive director Sumeet Bagadia recommended buying two stocks on Friday, July 19.

Bajaj Finserv

Buy BAJAJFINSV in Cash @ 1651.25, stop-loss @ 1585, target @ 1785

BAJAJFINSV has recently demonstrated a bullish breakout from an Inverted Head and Shoulders pattern on the daily chart. This breakout is further validated by significant trading volumes, indicating strong momentum behind the trend. Additionally, the stock has shown strength by bouncing off the short-term 20-day EMA, which serves as a crucial support level.

The Relative Strength Index (RSI) currently stands at 69.08 and is trending upwards, suggesting that the stock is not yet in overbought territory and supports the continuation of the uptrend. Furthermore, BAJAJFINSV has successfully surpassed key moving averages, including the 20-day EMA, 50-day EMA, and 200-day EMA, reinforcing the bullish outlook

Considering the technical indicators and strong price action, entering a long position in BAJAJFINSV @ 1651.25 appears to be a promising opportunity. With a well-defined stop loss @ 1585 and a target price @ 1785 that offers a favourable risk-reward ratio, this investment aligns well with a bullish market sentiment for the stock.

Phoenix Mills

Buy PHOENIXLTD in cash @ 4095.3, stop-loss @ 3950, target @ 4300

PHOENIXLTD is exhibiting strong bullish momentum, currently trading at all-time high of 4137 levels. The recent breakout above the crucial resistance at 3950 levels is a significant technical development, supported by robust trading volumes, reinforcing the strength in the stock. The breakthrough suggests a potential continuation of the upward trend, offering an optimistic outlook for investors.

Additionally, PHOENIXLTD 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 72.76 levels.

For traders, keeping an eye on the strong support near 3950 levels is advisable, as a breach of this level could signal a shift in sentiment. Overall, PHOENIXLTD 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 PHOENIXLTD and the CMP of 4095.3 with a stop loss of 3950 for the target of 4300.

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.