Stocks To Buy: Trade Call On Tuesday, 20th August By Sumeet Bagadia Of Choice Broking

The country's benchmark indices began the day higher, following global trends. The Nifty began the day higher and moved in a constrained range throughout the entire day, wrapping up at 24,573 on a positive note. Nevertheless, the broader market surpassed the benchmarks, as seen by the roughly 1.92% and 1.53% gains in the Nifty Midcap 100 and Smallcap 100 indices, respectively on Monday. Although the Bank Nifty also started the day higher, profit booking resulted from the index's inability to hold higher levels. As a result, the index finished the day at 50,368 down from its opening value. The market is anticipated to remain cautious going forward in the lack of positive domestic cues, despite the possibility of a rate cut at the September FOMC meeting and other key global cues.

Nifty Prediction Today

"Technically, the Nifty has formed a small red candle on the daily chart, signaling some hesitation at higher levels. On the downside, the 21-Day Exponential Moving Average (DEMA), positioned near 24,385, will serve as strong support in the short term. As long as the index stays above 24,380, the bullish momentum is expected to persist. On the upside, gap hurdles are present at 24,690 and 24,960 levels," said Hrishikesh Yedve, AVP Technical and Derivatives Research at Asit C. Mehta Investment Interrmediates Ltd.

Bank Nifty Prediction Today

"Technically, the Bank Nifty has formed a red candle on the daily chart, indicating weakness. The index was unable to cross the barrier of the 21-DEMA, which is located near 50,770, and the previous week's high is near 50,830 levels. A sustained move above 50,830 could propel the index towards the 51,200-51,500 range. Until then, the index is likely to consolidate within the band of 49,650-50,830," commented Hrishikesh Yedve.

Stocks To Buy Today

Based on a technical analysis of profitable companies, Choice Broking's executive director Sumeet Bagadia recommended buying two stocks.

Glenmark Pharmaceuticals

Buy GLENMARK in cash @ 1631.5, stop-loss: 1570, target: 1705

GLENMARK 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 formed a strong bullish momentum candle 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, GLENMARK is currently trading above its crucial 20-day, 50-day, and 100-day Exponential Moving Average (EMA) levels, reinforcing the bullish trend. Given the overall chart pattern, the analysis suggests a favourable long trading opportunity for investors.

Based on the above analysis we recommend buying GLENMARK in cash at CMP of 1631.5 for the target of 1705 with a stop loss of 1570.

Ganesha Ecosphere

Buy GANECOS in Cash @ 1830.5, stop-loss: 1760, target: 1920

The stock is currently trading at 1830.5 levels. The stock has broken out of a recent consolidation phase, a positive sign that the upward momentum may continue. The breakout is supported by higher trading volumes, which suggests that more investors are confident in the stock's potential.

Currently stock is trading above all the important moving averages. Now any dip in the stock around 1800 levels will be a buying opportunity. A small resistance can be witnessed near 1850 levels, and once stock crosses the mentioned level GANECOS can now further move towards 1920 levels and higher.

According to the aforementioned technical analysis, we advise buying GANECOS at a CMP of 1830.5 for the target of 1920. If the stock closes below 1760, our analysis will be invalid.

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.