2 Stocks To Buy Today As Recommended By Sumeet Bagadia of Choice Broking On 11th Oct

Following a decline on Monday, benchmark indices rebounded on Tuesday, October 10, closing higher. At closure, the Sensex was up 566.97 points or 0.87 per cent at 66,079.36, while the Nifty was up 177.50 points or 0.91 per cent at 19,689.80 due to the clash between Hamas and Israel, easing crude oil prices, and positive global signals as a result of dovish remarks from Fed officials. Among the most notable gainers on the Nifty were Coal India, Bharti Airtel, Adani Ports, Hindalco Industries, and Kotak Mahindra Bank, while losers were IndusInd Bank, Cipla, Dr. Reddy's Laboratories, TCS, and Titan.

Nifty Outlook Today

Rupak De, Senior Technical analyst at LKP Securities said, "Nifty remained robust throughout the day as the bulls regained control. On the hourly chart, the Nifty has broken out of an inverted head and shoulders pattern. In the short term, the index is expected to maintain its strength. A decisive move above 19,700 points could potentially propel the index towards the range of 19,850 to 19,900. The support level is situated at 19,600."

Bank Nifty Outlook

Kunal Shah, Senior Technical & Derivative analyst at LKP Securities said, "The bulls made a strong comeback, defending the support zone of 44000-43800, where fresh put writing is evident. The next immediate hurdle is positioned at 44500, and a break above this level is expected to trigger further short covering, potentially pushing the index towards the 45000 mark. Additionally, the momentum indicator RSI has provided a positive crossover, confirming a buy signal."

Stocks To Buy Today

Sumeet Bagadia, Executive Director at Choice Broking has picked up the below shares for day trading on 11th October.

BHEL

Buy BHEL in cash @ Rs 131.20, stop-loss: Rs 125, target: Rs 142

BHEL is currently trading at Rs 131.20. On the daily chart, the price is consolidating and trading in a sideways range of Rs 132.5-Rs 122.5 levels, forming a rounding bottom pattern. If the price closes above Rs 132.5, it could target levels of Rs 140 and Rs 145 as immediate resistance, while on the flip side, Rs 125 is an important support level.

Furthermore, BHEL is currently trading above critical Exponential Moving Averages (EMAs), including the 20-day, 50-day, 100-day, and 200-day EMAs, which reinforces its bullish momentum and suggests the potential for further upward price movement.

The Relative Strength Index (RSI) is currently at 58.56 and trending upwards, indicating growing buying momentum. Additionally, the Stochastic Relative Strength Index (Stoch RSI) has recently experienced a positive crossover from the oversold region. This combination of technical indicators suggests that BHEL may have the potential to reach a target price of Rs 142 in the near term.

To effectively manage risk, it is advisable to implement a stop-loss (SL) at Rs 125 to protect your investment in case of an unexpected market reversal. In summary, considering the technical analysis and prevailing market conditions, BHEL appears to present an attractive buying opportunity for those aiming for a Rs 142 price target, provided that prudent risk management measures are in place.

Jammu and Kashmir Bank

Buy JKBANK in cash @ Rs 113.5, stop-loss: Rs 108, target: Rs 120

Based on a comprehensive technical analysis of Jammu and Kashmir Bank (JKBANK), it appears poised for a significant breakout in the daily timeframe. The stock has exhibited strong support at a well-defined trendline, demonstrating a robust foundation for potential upward movement. Notably, JKBANK has successfully closed above key short, mid, and long-term moving averages, including the 20, 50, 100, and 200 Exponential Moving Averages (EMA), affirming a bullish sentiment.

The Relative Strength Index (RSI) stands at a healthy 67, indicating an upward trend in momentum. This suggests an increasing demand for the stock and aligns with the positive price action observed. Moreover, the Average Directional Index (ADX) is notably strong at 24, further reinforcing the likelihood of a sustained bullish trend.

With these indicators in mind, a strategic entry point for a long position in JKBANK would be at 113.5, providing a favorable risk-reward ratio. Setting a stop loss at 108 ensures prudent risk management, safeguarding against unforeseen adverse price movements. Considering the current technical landscape, a target of 120 presents a plausible objective, representing a potential upside from the entry point.

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.