Stocks To Buy Today: Intraday BUY/SELL Calls By Sumeet Bagadia On Tuesday, 4th March

In contrast to Bank Nifty, which began higher, saw selling pressure, and ended the day on a downward trajectory at 48,114, the domestic benchmark index, Nifty, opened Monday with an upward gap on strong global signals but eventually encountered selling pressure, finishing flat at 22,119. Due to heightened geopolitical tensions and impending changes in trade policy, the Nifty concluded the day lower on Monday after consolidating with a bearish tendency after exhibiting severe weakness on Friday. For insights into market volatility, key data including the IIP and Consumer CPI on March 12 and the WPI on March 14 will be keenly monitored.

Nifty Outlook Today

"Technically, Nifty on a daily scale has formed a small red candle, suggesting weakness, and as long as it remains below 22,500, the bearish momentum is expected to persist. On the downside, psychological level of 22,000 will act as immediate support, followed by 21,900 where the 100-Weekly Simple Moving Average (100-WSMA) is placed. Thus, traders are advised to follow sell on rise strategy till index maintains below 22,500," said Hrishikesh Yedve, AVP Technical and Derivatives Research at Asit C. Mehta Investment Interrmediates Ltd. (A Pantomath Group Company).

Bank Nifty Outlook Today

"Technically, the index formed a red candle on the daily chart, indicating weakness. However, the index has reversed from the previous demand zone of 47,840, making it an essential support, while on the upside, 49,000 will remain a difficult barrier for the index. Traders should actively monitor these levels for possible trading opportunities," commented Hrishikesh Yedve.

Stocks To Buy Today

Sumeet Bagadia, executive director of Choice Broking, suggested buying two stocks on Tuesday, March 4, following the Nifty's potential pullback under severe selling pressure.

Hindalco Industries

Buy HINDALCO in Cash @ 636.55, Stop-loss @ 614, Target @ 681

HINDALCO is currently trading at ₹636.55 and has recently given a breakout from a descending trend line resistance, signaling a potential trend reversal. After a corrective phase, the stock has reclaimed key moving averages, reinforcing bullish sentiment and indicating renewed buying interest. This breakout has been accompanied by rising volumes, further strengthening the bullish outlook.

The stock is currently trading above its 20-day and 50-day EMAs, signaling renewed strength and positive momentum. Additionally, the Relative Strength Index (RSI) is at 58.88, trending upward, which suggests a continuation of buying interest. If HINDALCO sustains above ₹645, it could gain further strength and move towards the higher target range of ₹670-₹680 in the near term.

Given the strong technical structure, traders can consider buying at the current price of ₹636.55, with a well-defined stop-loss at ₹614 to manage risk. As long as the stock holds above its support levels and maintains buying momentum, it remains well-positioned for an upward rally. However, traders should closely monitor price action near resistance levels and volume trends to confirm continued strength.

Cummins India

Buy CUMMINSINDin Cash @ 2824.80, Stop-loss @ 2726, Target @ 3023

CUMMINSIND is currently trading at ₹2824.80 and is taking support from a key level at ₹2670. The stock has formed a bullish candlestick on the daily timeframe and is on the verge of breaking out of its consolidation range of 2862 to 2650. A successful breakout from this channel would further strengthen the reversal pattern. This potential breakout is supported by a notable increase in trading volumes, indicating strong buying interest among investors. In the short term, the stock appears poised to target ₹2726.

The Relative Strength Index (RSI) stands at 48.69, reflecting a healthy uptrend with room for further growth. Moreover, CUMMINSIND is trading above its 20-day Exponential Moving Average (EMA) and is approaching its 50-day and 200-day EMAs. A closing above these moving averages would reinforce the positive trend.

If the stock sustains above the critical resistance level of ₹2865, it could present a favorable entry point for long positions. Traders may consider entering at the current price of ₹2824.80, with a target of ₹3023 and a stop-loss at ₹2726 to effectively manage risk. While the trade setup appears promising, caution is advised due to potential short-term volatility. Adhering to proper risk management strategies will be crucial for navigating this trade successfully.

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.