Trade Call: 2 Stock Picks By Sumeet Bagadia of Choice Broking On Wednesday - March 27

The Nifty lost 92 points to finish the day at 22,005 while the Sensex fell 362 points to end Tuesday's trading session at 72,470. Nevertheless, the Midcap Index had an impressive rise of 495 points, finishing at 47,808, in spite of the major indices' declining trajectory. The NSE advance-decline ratio was 1:2, favouring losses, however, the broader market did better, with the Nifty midcap and smallcap 100 rising by 1% and 0.4%, respectively. The US Consumer Confidence data, which dropped slightly to 104.7 in March from an addressed 104.8 in February, and the upcoming derivatives monthly expiry, as well as the global economic data that is expected to be announced this week, might cause market volatility and keep investors busy.

Nifty Outlook

"The Nifty has been confined within a wide range. A potential weakening scenario could unfold if the Nifty dips below 21,880 while a bullish momentum may emerge if it closes above 22,200 levels. The Relative Strength Index (RSI) remains below 50, indicating prolonged weakness. For an optimistic outlook, Nifty needs to close above the middle Bollinger band around the 22,180-22,200 zone and until Nifty surpasses these levels, it may be advisable to opt for a sell-on-rise strategy," said Om Mehra, Technical Analyst, SAMCO Securities.

Bank Nifty Outlook

"Bank Nifty concluded the session at 46,600.20, marking a 0.56% decline. The Bank Nifty remained weaker throughout the day, failing to hold up above the 20-day Exponential Moving Average (EMA). Both PSU and private banking stocks did not support the Index adequately. The 50-day Daily Moving Average (DMA) placed around 47,000 levels will act as formidable resistance for the next trading session. The support for Bank Nifty remains at 46,300 and a breach below this level could potentially trigger further weakness towards the 46,000 mark," added Om Mehra.

Stocks To Buy Today

Sumeet Bagadia, executive director of Choice Broking, has recommended buying or selling two stocks on March 27.

Zomato

Buy ZOMATO in cash @ Rs 182.6, stop-loss @ Rs 177, target @ Rs 190

ZOMATO is exhibiting strong bullish momentum, currently trading at an all-time high of 183.65 levels. The recent breakout above the crucial resistance at 175 levels is a significant technical development, supported by robust trading volumes, reinforcing the strength of the stock. The breakthrough suggests a potential continuation of the upward trend, offering an optimistic outlook for investors.

Additionally, ZOMATO 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 71.65 levels.

For traders, keeping an eye on the strong support near the 177 level is advisable, as a breach of this level could signal a shift in sentiment. Overall, ZOMATO 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 ZOMATO and the CMP of 182.6 with a stop loss of 177 for the target of 190.

Apar Industries

Buy APARINDS in cash @ Rs 7050.35, stop-loss: Rs 6819, target: Rs 7406

APARINDS has recently experienced a significant breakthrough above the crucial resistance zone ranging from 5785 to 6500 on the daily chart. This breakout has been accompanied by a consolidation of the upward movement, characterized by higher highs and higher lows. 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 APARINDS price action.

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

Considering the above analysis, we recommend APARINDS in cash at the current market price (CMP) of 7050.35, setting a target of 7406, and implementing a stop loss at 6819.

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.