Trade Call: 2 Stock Picks By Sumeet Bagadia of Choice Broking On Friday, 12th April

Nifty reached an all-time high of 22,775.70 during the last trading session on Wednesday; the Sensex, on the other hand, continued to rise but fell short of its all-time high. Ultimately, Nifty closed the day higher, up 0.49%, at 22,754 points. The small-cap and Midcap equities led the advances in the broader indices, which ended favourably. The pharmaceutical industry was under pressure, but the media, oil and gas, metal, FMCG, PSU banks, and information technology sectors saw buying activity. With TCS heading the Q4 results season from today, the market is probably going to stay erratic.

Nifty Outlook

"From a technical standpoint, the index has formed a good base around 22,500 levels. As long as the index holds the support of 22,500, the current rally may continue up to 23,000 levels. Short-term support levels for the Nifty exist at 22,620 and 22,500 levels, while resistance stands at 22,900 and 23,000 levels," said Asit C Mehta Investment Intermediates Ltd.

Bank Nifty Outlook

"Meanwhile, the Nifty Bank index also registered a fresh record high today at 49,057.40 and settled the day on a positive note around 48,918 levels. Technically, Bank Nifty has crossed its previous all-time high and sustained above 48,640. Thus, as long as the index holds above 48,640, the rally could extend towards 49,500-50,000 levels. Short-term support levels for Bank Nifty are seen at 48,800 and 48,640, with resistance levels at 49,500 and 50,000," said Asit C Mehta.

Stocks To Buy Today

On Friday, April 12, Choice Broking's executive director Sumeet Bagadia recommended buying or selling the below two stocks.

Indian Oil Corporation

Buy IOC in Cash @ Rs 173.05, stop-loss: Rs 165, target: Rs 190

IOC's current stock analysis suggests a favourable outlook. It's presently trading at 173.05 levels and has recently rebounded from a robust support of 165 levels which is also close to 50 Day EMA levels. This rebound showcases notable buying interest, solidifying it as a key support level.

Furthermore, a bullish candlestick pattern on the daily charts, supported by healthy trading volumes, indicates a positive shift in market sentiment. This pattern implies a transition from a bearish sentiment to a more optimistic one, which can result in an upward trajectory for the stock's price.

Notably, there's a minor resistance level observed around 178 levels. Breaking above this resistance could pave the way for the stock to move towards a target of 190 levels or potentially even higher.

Based on this analysis, one may consider buying IOC at the CMP of 173.05, setting a stop loss at 165, and aiming for a target of 190.

HEG

Buy HEG in cash @ Rs 2356.85, stop-loss: Rs 2297, target: Rs 2525

HEG 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 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, HEG 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 HEG in cash at CMP of 2356.85 for the target of 2525 with a stop loss of 2297.

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.