Indian Stock Market: The Indian stock market benchmark index Nifty50 ended its five-session gaining streak on Wednesday, June 19, due to profit-booking at higher levels.
During the session, the Nifty50 hit a new peak of 23,664 but retreated from that level to close at 23,516, down 42 points or 0.18%. During the session, the 30-share Sensex hit a new peak of 77,851.63 but closed with a marginal gain of 36 points or 0.05% at 77,337.59, while 20 stocks ended with a decline.
Brokerage firm ICICI Securities said in a report, “Nifty started the week with a positive gap and traded in a range throughout the session. Daily price action formed a small bearish candle taking higher high-low, indicating continuation of the positive momentum. Border markets performed relatively better and maintained their record setting spree. Going forward, we expect the index to continue its northward journey and gradually move towards 23800 in the coming weeks. In the process, a temporary breather after the 11% rally (from June lows) cannot be ruled out. However, such a breather should not be considered negative but should be capitalised as an incremental buying opportunity as there is strong support at 23000.”
Brokerage firm ICICI Direct Research has recommended five stocks to buy this week – Nocil, National Fertilizers, L&T Finance Holdings, Central Bank of India and Axis Bank.
Stocks to buy
Nosil Limited : BUY 267-273 | Target Price: 292 | Stop Loss: 261
The falling trendline breakout and increased buying demand above the 20-day EMA further indicate an uptrend and resumption of positive momentum.
National Fertilizers: Buy Now 116-119 | Target Price: 128 | Stop Loss: 112
Price rebounding after consolidating above the recent breakout zone indicates underlying strength and a new entry opportunity.
L&T Finance Holdings: BUY 173-178 | Target Price: 192 | Stop Loss: 169
The sharp pace of retracement and bounce back in price after finding support at 200-day EMA could indicate the start of further uptrend and a fresh entry opportunity.
Central Bank of India: BUY 64.80-65.90 | Target Price: 70 | Stop Loss: 62.80
The price regained upside momentum after sustaining above the 100-day EMA and the slow speed of retracement suggest more upside movement in the coming sessions.
Axis Bank: BUY 1165-1185 | Target Price: 1270 | Stop Loss: 1118
The increased buying demand above the 20-day EMA and the price bounce after finding support at the previous breakout zone indicate further upside in the coming sessions.
Disclaimer: The views and recommendations expressed in this analysis are those of the individual analysts or broking companies and not of Mint. We strongly advise investors to seek advice from certified experts before making any investment decisions, as market conditions can change rapidly and individual circumstances may vary.
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