Stock market today: Trade setup for Nifty 50 to global outlook amid Iran-Israel war; five stocks to buy on October 9

Stock Market Today: The benchmark Nifty-50 index rebounded 0.88% to end at 25,013.15 on Tuesday, after six consecutive days of decline led by concerns about the Iran-Israel war. The S&P BSE Sensex, also at 25,013.15, also ended with gains of 0.72%.

Most sectors, with the exception of metals, ended with gains. Auto, energy, and pharma led, as Nifty Bank, at 51,021.00, was up 1.07%. The broader indices also saw a rebound, with the mid-and small-cap indexes rising over 2% each. 

Trade setup for Wednesday

After the Nifty's rebound  on Tuesday, the recovery in key heavyweights could drive Nifty further upward, sustaining this momentum may be challenging, said Ajit Mishra – SVP, Research, Religare Broking Ltd. Nifty faces an immediate resistance zone around 25,150-25,300, with a significant hurdle still at 25,500 as per Mishra

On the daily charts, Jatin Gedia, Technical Research Analyst at Sharekhan, expects the Bank Nifty to hold on to the support zone of 50400 – 50200 and rise towards 51800 – 52000 over the next few trading sessions.

Global market amidst Iran-Israel war

Asian indices remained mixed, with most indices, except for China, seeing a correction. The European Indices, too, remained under pressure.

Good state election result for the ruling party, contrary to the exit polls, has brought some optimism in the domestic market, said Vinod Nair, Head of Research, Geojit Financial Services.. RBI policy outcome, though no cut is expected, a plausible change in stance to neutral is anticipated, as per Nair. Investors are likely to focus on the upcoming Q2 results, where earnings are likely to improve marginally on a sequential basis, 

Stocks to buy today

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

These include Skipper, BSE Limited , PVR Inox, Jubilant Pharmova and DLF.

Sumeet Bagadia's stocks to buy today

1. Skipper Ltd - Bagadia recommends buying Skipper at ₹501.05, maintaining a Stoploss at ₹480 for a target of ₹535

Skipper is exhibiting bullish solid momentum, trading at an all-time high of ₹513.8. The recent breakout above the crucial resistance at 485 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.

 2. BSE Limited - Bagadia recommends buying BSE at ₹4242.65 with Stoploss at ₹4085 for a target price of ₹4500

The BSE daily chart indicates a significant shift in market dynamics, transitioning from a period of slight declines and sideways consolidation to a promising upward movement. The current trading session shows upward momentum, breaking out of a narrow range and forming a double-bottom pattern on the daily chart. Any move above 4300 could potentially signal a breakout to the upside. This development aligns with a positive short-term trend, supported by a notable increase in trading volume.

Ganesh Dongre's stocks to buy today

3. PVR Inox Ltd—Dongre recommends buying PVR Inox at ₹1606, keeping a Stoploss at ₹1575, with a target price of ₹1675.

The stock has substantial support at Rs.1575, marking a crucial juncture in its recent trading. At Rs.1606, the stock has demonstrated a definitive price-action reversal, 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 Rs.1575. The anticipated target for this trade is Rs.1675, representing the next significant resistance level. This strategy positions traders favourably to capitalize on the stock's expected to rally in the weeks ahead.

4.  Jubilant Pharmova Ltd—Dongre recommends buying Jubilant Pharmova at ₹1140 with aStoploss at ₹1110 for a target price of ₹1210.

A notable bullish reversal pattern has emerged in the stock's recent short-term trend analysis. This technical pattern suggests the possibility of a temporary retracement in the stock's price, potentially reaching around Rs. 1210. The stock is currently maintaining a crucial support level at Rs.1110. Given the current market price of Rs.1140, 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 Rs. 1210.

5. DLF Ltd- Dongre recommends buying DLF  at ₹840 with a Stop loss of ₹820 for a target price of ₹875 

On the daily chart of this stock, a breakout at the Rs.840 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 of ₹820 is recommended. The target price for this strategy is ₹875 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.