Stocks To Buy Today: Intraday BUY/SELL Calls By Sumeet Bagadia On Friday, 27th December

While Bank Nifty began favourably, saw buying activity in the first hour, and then gave in to strong selling pressure, finishing almost flat at 51,171, Nifty opened favourably on Thursday but stayed sluggish throughout the day until closing slightly higher at 23,750. Higher market volatility was indicated by the India VIX volatility index, which rose 6.50% to 14.04. Due to global market holidays and the absence of significant domestic or global cues, the domestic market was flat throughout the day on the year's last expiry day. However, upcoming Q3 data will influence market movement amid worries about rate cuts in 2025.

Nifty Outlook Today

" Technically, Nifty has been attempting to cross the 200-Day Simple Moving Average (200-DSMA) hurdle over the last three sessions but has been unable to sustain above it, forming a small red candle. The 200-DSMA is currently placed near 23,855, which will act as an immediate hurdle for the index. A sustainable move above 23,855 will push the index further higher to 24,000-24100 levels. On the downside, 23,500 serves as immediate support. In the short term, the index is expected to consolidate within the 23,500-23,850 range, with a breakout on either side determining its future trajectory," said Hrishikesh Yedve, AVP Technical and Derivatives Research at Asit C. Mehta Investment Interrmediates Ltd. (A Pantomath Group Company).

Bank Nifty Outlook Today

"On the daily chart, the index formed a red candle. The 200-Days Simple Moving Average (200-DSMA) is placed around 50,560 will act as strong support, while the 100-Day Exponential Moving Average (100-DEMA) around 51,635 serves as a resistance. In the short term, the index is likely to consolidate between 50,550 and 51,650, with a breakout in either direction determining its future movement," commented Hrishikesh Yedve.

Stocks To Buy Today

Choice Broking's executive director, Sumeet Bagadia, recommended buying two stocks on Friday, December 27 after the Nifty index continued to trade below the 200 DMA, confirming the current state of volatility.

Newgen Software Technologies

Buy NEWGEN in cash @ 1686.2, Stop-loss @ 1625, Target @ 1820

NEWGEN daily chart analysis offers a favourable view for the following week, indicating a steady higher advance. Notably, the stock has produced a notable higher high and higher low pattern, and the company's recent upward swing has effectively violated the neckline, establishing a new week high. This breakthrough indicates the possibility of a significant follow-through upward increase in the stock price.

Adding to the positive momentum, there has been an increase in trading volume, indicating growing market interest. The stock is forming a strong solid bullish trend signifying a potential continuation of the uptrend following and the daily strength indicator RSI (14) is moving upwards and positioned above its reference line indicating a positive bias. Furthermore, NEWGEN is currently trading above its crucial 20-day, 50-day, and 100-day Exponential Moving Average (EMA) levels, reinforcing the bullish trend.

For fresh investments, a disciplined strategy involves waiting for potential dips, considering entry points near 1666 levels. Implementing a strict stop-loss at 1625 levels offers a risk management mechanism, ensuring protection against adverse market movements.

Based on the above analysis we recommend buying NEWGEN at the price of 1686.2 with a stop loss of 1625 for the target of 1820.

Redtape

Buy REDTAPE in cash @ 887.25, Stop-loss: 855, Target: 950

REDTAPE showcases a strong bullish momentum, evident from a substantial upward movement and a significant closing around ₹887.25. The stock has been experiencing robust buying interest, leading to consecutive gains and an attempt to consolidate after the recent surge.

Key technical indicators, particularly the Relative Strength Index (RSI), emphasize the stock's positive momentum. The RSI not only signals positive trends but also aligns with the stock trading above crucial moving averages, including the 20-day, 50-day, and 200-day Exponential Moving Averages (EMA). This convergence underscores the sustained strength in REDTAPE price action.

The surge in volume associated with this upward price action also indicates strong interest and a potential continuation of the rally if the momentum sustains a bullish outlook for REDTAPE Industries. Traders and investors may find this analysis indicative of potential continued upward momentum in the stock.

Based on the above analysis we recommend buying REDTAPE in cash at CMP of 887.25 for the target of 950 with a stop loss of 855.

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.