Trade Call: 1 Cement & 1 Auto Stock To Buy; Sumeet Bagadia Picks On Thursday, 11th July

Tracking global cues, the Nifty started the day neutral, however, following that, the index saw profit booking and continued to be under pressure. At 24,324, the Nifty finally closed the day lower than it had opened. Throughout the day, the Bank Nifty was under pressure and started the day lower. Finally, at 52,189 points, Bank Nifty ended the day worse than it had started. Investor attention will continue to be focused on the IT industry and the approaching budget given that the Q1FY25 earnings season began today with TCS.

Market Outlook Today By Rajesh Bhosale, Equity Technical Analyst, Angel One

The Nifty benchmark index began the trading session with a slight uptick, but lacked follow-through buying, leading to quick profit-booking during the first half. Prices sharply dropped to around the 24140 mark. However, in the latter half, there was no significant further decline, and prices rebounded to close with a 0.45% loss at 24324.

In the first half, as major indices trended downward, profit booking appeared significant. Nonetheless, bulls defended crucial support levels, sparking a recovery from lower levels. Currently, prices remain elevated and are trading within a range, suggesting that market participants are awaiting a catalyst for decisive movements. Going ahead, the upcoming results season could potentially provide such a catalyst; any disappointing results within heavyweights might finally trigger the overdue price correction. Today, the trading range is observed between 24140-24100 on the downside and 24460-24500 on the upside, marking key levels for the weekly expiry. Traders should monitor these levels closely and adjust their strategies accordingly.

Earlier in the week, there was notable activity in the Pharma and FMCG sectors, whereas today, PAINT and Insurance stocks are leading the charge. Focusing on the daily thematic trends can offer opportunities for outperformance.

Stocks To Buy Today

Sumeet Bagadia, executive director of Choice Broking, recommended buying two stocks during the Thursday, July 11 session based on the findings of a technical analysis.

Grasim Industries

Buy GRASIM in cash @ Rs 2802.15, stop-loss @ 2705, target @ 2950

GRASIM is exhibiting strong bullish momentum, currently trading at an all-time high of 2812.25 levels. This breakout has been accompanied by a consolidation of the upward movement, characterized by higher highs and higher lows, supported by robust trading volumes, reinforcing the strength in the stock. The breakthrough suggests a potential continuation of the upward trend, offering an optimistic outlook for investors.

Additionally, GRASIM is trading above key moving averages, including the short-term (20 Day), medium-term (50 Day), and long-term (200 Day) EMAs, further affirming its bullish stance. The momentum indicator, Relative Strength Index (RSI), is at 78.8 levels.

For traders, keeping an eye on the strong support near 2705 levels is advisable, as a breach of this level could signal a shift in sentiment. Overall, GRASIM current technical setup suggests a favourable environment for further upside potential, provided traders and investors remain vigilant to potential reversals and closely monitor key support and resistance levels.

Based on the above analysis we recommend buying GRASIM and the CMP of 2802.15 with a stop loss of 2705 for the target of 2950.

Fiem Industries

Buy FIEMIND in cash @ 1382.7, stop-loss: 1335, target: 1450

FIEMIND has recently experienced a significant breakthrough above the crucial resistance zone ranging from 1323 to 1380 on the daily chart. This breakout has been accompanied by a consolidation of the upward movement, characterized by Bullish Engulfing Pattern. The strong bullish sentiment is further validated by a noticeable surge in trading volume.

Key technical indicators, particularly the Relative Strength Index (RSI), highlight the positive momentum in the stock. The RSI not only indicates favourable trends but also aligns with the stock trading above important moving averages, including the 20-day, 50-day, and 100-day Exponential Moving Averages (EMA). This convergence underscores the continued strength in FIEMIND price action.

In summary, the decisive breakout, along with encouraging volume and the positive alignment of key technical indicators, suggests a bullish outlook for FIEMIND. Traders and investors may interpret this analysis as indicative of potential sustained upward momentum in the stock.

Considering the above analysis, we recommend FIEMIND in cash at the current market price (CMP) of 1382.7, setting a target of 1450, and implementing a stop loss at 1335.

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.