Stocks To Buy Today, Sept 26: Top Picks By Riyank Arora of Mehta Equities For Profitable Trading On Friday

The previous session saw significant selling pressure on the Nifty index, which fell below its psychological threshold of 25,000. The benchmark had its sixth consecutive fall, continuously falling short of the high of the previous day, indicating that market mood is still dominated by caution. At 24,890.85, the Nifty closed the day 166.05 points down.

With a follow-through collapse of its ascending trendline, the Nifty Bank index continued to deteriorate, falling below the pivotal psychological threshold of 55,000 and it is evident that cautious attitude is still prevailing among traders as the benchmark has now failed to surpass the high of the prior day for five straight sessions. At 54,976.20, the Nifty Bank ended the day 145.30 points down.

India VIX edged 2.47% higher to 10.78, reflecting subdued volatility despite sharp intraday swings and global uncertainties. With the fear gauge still hovering near historical lows, traders appear reluctant to build aggressive hedges - pointing to a cautious yet complacent mood.

Nifty Outlook Today

"Nifty's broader structure has clearly tilted into a cautious stance, with the index closing below its psychological level of 25,000 for the first time in weeks. Five consecutive sessions of lower closes, combined with a visible pattern of lower highs on the daily chart and sustained trade beneath key moving averages, underline a weakening trend," said Dhupesh Dhameja, Derivatives Research Analyst, SAMCO Securities.

"What was once a strong support zone has now flipped into a resistance barrier, with call writers turning more aggressive at at-the-money strikes and put writers retreating to lower bases. This shift reaffirms that the upside is likely to stay capped. As long as the index remains under the 25,050-25,000 resistance band, sellers are expected to retain the upper hand. A decisive break-down below 24,800 could unlock further downside toward 24,620, keeping the near-term outlook sideways to bearish," the analyst further added.

Bank Nifty Outlook Today

"The broader setup of Nifty Bank has shifted into a cautious mode as the index has closed below its psychological threshold of 55,000. Five consecutive sessions of lower closes beneath the prior day's high, coupled with a series of lower highs on the daily chart and trade beneath key moving averages, emphasize a weakening structure. A zone that previously acted as strong support has now transformed into a significant resistance barrier," commented Dhupesh Dhameja.

"With call writers growing more aggressive at at-the-money strikes and put writers retreating to lower levels, the upside appears restricted. As long as the index remains capped below the 55,200-55,250 resistance band, sellers are expected to stay dominant. A sustained breakdown below 54,800 could pave the way for a decline toward 54,500, keeping the near-term outlook tilted sideways to bearish," Dhupesh Dhameja stated.

Stocks To Buy Today

On Friday, September 26, Mehta Equities Ltd.'s technical analyst Riyank Arora recommended buying 2 stocks.

Adani Total Gas

Buy | CMP: Rs 670 | SL: Rs 645 | Target: Rs 710 / Rs 740

Adani Total Gas is regaining traction near ₹670 after a healthy consolidation. The stock is well-supported by fundamentals in the clean energy space and technically positioned for further upside. Sustaining above current levels could open a move towards ₹710 and ₹740. Traders may buy with a stop-loss at ₹645 to manage risk effectively.

Urban Company

Buy | CMP: Rs 170 | SL: Rs 160 | Target: Rs 190 / Rs 210

Urban Company is witnessing accumulation around ₹170 after a sideways phase. The company's strong brand presence in the services marketplace continues to support its long-term growth story. Holding above ₹170 can push the stock towards ₹190 and ₹210 in the near term. A protective stop-loss should be maintained at ₹160 while entering fresh positions.

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