Chandan Taparia of Motilal Oswal Recommends 3 Stocks To Buy Or Sell On Tuesday, 25th July

The Indian stock market was up during the pre-opening session on Tuesday after two straight days of declines, with the Sensex up 110 points and the Nifty surpassing 19,740 level.

Commenting on the Nifty prediction, Chandan Taparia, Derivatives & Technical Analyst of Motilal Oswal said, Nifty immediate support at 19560 then 19433 zones while resistance at 19888 then 19991 zones. Now it has to hold above 19650 zones to extend the move towards 19888 then 19991 zones while on the downside support is placed at 19560 and 19433 zones.

Commenting on the Bank Nifty prediction, Chandan Taparia said, "Bank Nifty support at 45800 then 45650 zones while resistance at 46250 then 46369 zones. Now it has to continue to hold above 45900 zones for an up move towards 46250 then recent life high of 46369 marks while on the downside support is seen at 45800 then 45650 zones."

Market Outlook

Indian stock market is expected to open on a positive note on account of global cues after US Dow Jones finished over 0.5% higher on Monday with an 11th straight day of advances to close at 18-month high, amid hopes that cooling inflation will allow the Fed to end its tightening campaign soon, said Chandan Taparia.

"Stocks in Asia traded cautiously as investors analysed the possibility of more economic stimulus to come from Beijing, while Wall Street markets started the week with gains ahead of key central bank rate decisions. Expect momentum to continue on mid-cap and small cap counters while traders buy on decline strategy ahead of a chunk of quarterly results, July monthly F&O expiry and US Fed policy outcome this week. Heavyweight, Tata Motor, L&T, Asian Paint, Bajaj Auto will be announced today. Upstream oil companies like ONGC and Oil will be positive after Brent Crude surged to 3-month high at $82/bbl. Metal stocks may be positive ahead of China stimulus," he further stated.

Stocks To Buy Today

Chandan Taparia, Derivatives & Technical Analyst of Motilal Oswal has recommended 3 stocks to buy today, Tuesday, 25th July.

Technical Pick:

BHEL

Buy at CMP of Rs 98, stop loss Rs 95, target price Rs 105, duration: 2 to 3 days

Bhel is in an overall uptrend and gave a range breakout on the daily chart. Buying is visible across capital goods space and supports are gradually shifting higher. It has formed a strong bullish candle on the daily chart with noticeable volumes which will support the ongoing up move, said Chandan Taparia.

Fundamental Pick:

SBI

Buy at CMP of Rs 618, target price Rs 700, timeframe: 1 year

Expecting a strong set of Q1 nos. for SBI. Earnings growth is likely to stay strong, supported by healthy treasury gains vs. losses last year. Asset quality to improve further supported by low stressed asset pool, said Chandan Taparia.

Tata Motors

Buy at CMP of Rs 630, target price Rs 700, timeframe: 1 year

JLR India saw its sales double during the June quarter retailing 1,048 units. The luxury car maker said that this was its best ever first quarter sales performance with a growth of 102% compared to the same period last year, riding on a 209% growth in the Range Rover, Range Rover Sport, & Defender sales, 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.