Chandan Taparia of Motilal Oswal Recommends 3 Stocks To Buy Today, 18th Aug

Amid a high volatile session and mixed global cues, the Indian market ended on a bearish note as the Sensex ended 388.40 points or 0.59 percent lower at 65,151.02 at the close of Thursday's trading session, while the Nifty finished 99.70 points down or 0.51 percent lower at 19,365.30.

Commenting on Nifty prediction, Chandan Taparia, Derivatives & Technical Analyst of Motilal Oswal said, Nifty immediate support is at 19300 then 19250 zones while resistance is at 19480 then 19560 zones. Now till it holds below 19420 zones some more profit booking could be seen towards 19300 then 19250 zones whereas resistance exists at 19480 then 19560 zones.

Commenting on Bank Nifty prediction, Chandan Taparia said, Bank Nifty support is at 43750 then 43600 zones while resistance is at 44250 then 44444 zones. Now till it holds below 44000 zones weakness could be seen towards 43750 then 43600 zones while on the upside hurdle is seen at 44250 then 44444 levels.

Market Outlook

"Weak opening in the Asian markets and US market ended over 2-month low may open domestic bourses on a marginally lower. Worries about China economy growth and expectation of US Fed to hike interest rate in the next policy meeting pulled down across the global market. US stocks posted a third consecutive day of losses and fell to 2-month low while Asian markets decline for sixth consecutive days weighed the potential for the Federal Reserve to tighten policy further amid continued economic resilience," said Chandan Taparia.

"European stocks extended declines after minutes from the Federal Reserve's policy meeting in July suggested further interest-rate increases could be needed to contain inflation. UK, Germany and France Index decline 0.7% each. The 10-year Treasury yield reached just shy of 4.33% on Thursday, approaching the highest level since 2007. SGX Nifty slipped 0.4% while US Future marginally gain," he further stated.

Stocks To Buy Today

Chandan Taparia, Derivatives & Technical Analyst of Motilal Oswal has suggested 3 stocks to buy today i.e. on Friday, 18th August.

Technical Pick:

Dr Reddy

Buy at CMP of Rs 5880, stop-loss: Rs 5750, target price: Rs 6100, timeframe: 2 to 3 days

DR Reddy is in overall uptrend and given a consolidation breakout on daily chart. Buying is visible across pharma space which will support the ongoing up move. The momentum indicators are placed in the positive territory which may take the price to higher zones, said Chandan Taparia.

Fundamental Pick:

Titan

Buy at CMP of Rs 3072, target price: Rs 3325, timeframe: 1 year

Titan Company's 1QFY24 revenue grew 26% YoY, ahead of our expectation, with double-digit growth across all segments. Titan's brand-building initiatives across segments, increasing customer base, store expansions and development in international markets continued to be impressive. Titan has an impressive track record of outperforming its peers as well as exceptional long-term growth potential, all of which justify its premium valuations, said Chandan Taparia.

Ajanta Pharma

Buy at CMP of Rs 1781, target price: Rs 1800, timeframe: 1 year

The India pharma market grew 6.4% YoY in Jul'23 (vs. 4.5% in Jun'23 and 8.9% in Jun'22). Growth was majorly driven by price hikes. Ajanta outperformed IPM, led by Ophthal therapy (up ~21% YoY; ~28.5% of sales), Pain therapy (up 21% YoY), and Derma (up 17% YoY), 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.