Stock market today: Trade setup for Nifty 50 to global markets; five stocks to buy or sell on Friday — Oct 11

Stock Market Today: The Nifty 50 index, continuing its consolidation phase, ended with a marginal gain of 0.07% at 24,998.45 on Thursday, October 10. The S&P BSE Sensex also ended with 0.18% gains at 81,611.41.

The Bank Nifty rose 1.07% to 51,530.90 and was well supported by the metal and energy sectors. However, pharma and IT saw sharp declines. Broader indices failed to build on early momentum and closed on a mixed note.

Trade setup for Friday

The current market texture is non-directional, said Shrikant Chouhan, Head of Equity Research, Kotak Securities, who feels 25,130 for Nifty and 82,000 for Sensex would be the key breakout levels. Above the same, the market could bounce back to 25,260-25,300 levels for the Nifty and 82,300-82,500 levels for the Sensex.

Bank Nifty witnessed a pullback to the key hourly moving averages (51,700 – 51,800). Jatin Gedia – Technical Research Analyst at Sharekhan expects the pullback to continue on the upside and towards 52,000 – 52,400.

Global market amidst Iran-Israel war

Asian equities mostly rose on Friday triggered by overnight gains in the US stocks. European shares slipped on Thursday, with technology and mining stocks leading losses, as investors awaited the US inflation data which along with initial jobless claims numbers is expected to decide the course to be taken by the US Federal Reserve regarding its future monetary policy.

Siddhartha Khemka, Head - Research, Wealth Management, Motilal Oswal Financial Services Ltd expects the market to consolidate in a range with stock-specific action. 

Stocks to buy today

Sumeet Bagadia, Executive Director at Choice Broking, has recommended two stock picks for Friday. Ganesh Dongre, Senior Manager of Technical Research at Anand Rathi has suggested three stock ideas for today.

These include Apar Industries Ltd, Gujarat Fluorochemicals Ltd, Clean Science and Technology Ltd, GAIL (India) Ltd and Mahindra & Mahindra Ltd. 

Sumeet Bagadia's stocks to buy today

1. Apar Industries Ltd - Bagadia recommends buying Apar Industries at ₹10,649.7, keeping a stop loss at ₹10,250 for a target price of ₹11,350.

Apar Industries is currently trading at 10,649.7 and remains in an uptrend, as observed by the series of higher highs and higher lows formed over time. The stock has recently touched an all-time high of 10,720, indicating it is still in an uptrend, supported by a significant increase in volume. If the stock manages to close above its key resistance level of 10,700, it could reach a short-term target of 11,350.

2. Gujarat Fluorochemicals Ltd - Bagadia recommends buying Gujarat Fluorochemicals at ₹4,659.75 keeping a stop loss at ₹4,488 for a target price of ₹4,900.

Gujarat Fluorochemicals is presently trading at 4,659.75 levels. On the daily chart, the stock has formed a strong bullish momentum candle, signifying a resurgence of strength in its price action. A robust support level is situated at 4,488 levels. This confluence of support factors enhances the stock's stability and resilience.

Ganesh Dongre's stocks to buy today

3.  Clean Science and Technology Ltd - Dongre recommends buying Clean Science and Technology at ₹1,520 with a stop loss of ₹1,485 for a target price of ₹1,595.

The stock has substantial support at ₹1,485, marking a crucial juncture in its recent trading. Presently, at Rs1,520, the stock has demonstrated a definitive reversal in price action, suggesting a potential continuation of its upward momentum. Traders keen on seizing this opportunity could consider buying and holding the stock, setting a prudent stop loss at ₹1,485. The anticipated target for this trade is ₹1,595, representing the next significant resistance level. This strategy positions traders favourably to capitalise on the stock's anticipated rally in the weeks ahead.

4. GAIL (India) Ltd - Dongre recommends buying GAIL at ₹226 with a stop loss at ₹218 for a target of ₹235.

In the recent short-term trend analysis of the stock, a notable bullish reversal pattern has emerged. This technical pattern suggests the possibility of a temporary retracement in the stock's price, potentially reaching around ₹235. At present, the stock is maintaining a crucial support level at ₹218. Given the current market price of ₹226, a buying opportunity is emerging. This suggests that investors might consider purchasing the stock at its current price, anticipating a rise towards the identified target of ₹235.

5 Mahindra & Mahindra Ltd -  Dongre recommends buying  Mahindra & Mahindra at ₹3,200 with a stop loss of ₹3,140 and a target price of ₹3,330.

On the daily chart of this stock, a breakout at the ₹3,200 price level has been observed, signalling a potential upward trend. Complementing this breakout, the Relative Strength Index (RSI) is still turning up, indicating increasing buying momentum. Given these technical indicators, traders can consider buying on dips, entering the stock at a lower price point. To manage risk, a stop loss at ₹3,140 is recommended. The target price for this strategy is ₹3,330 in the upcoming weeks, suggesting a potential gain as the stock continues its upward trajectory.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decisions