Stock market today: Trade setup for Nifty 50 to Q1 results today — five stocks to buy or sell on Friday

Stock market today: Despite weak global market sentiments on rising US-China tension, the Indian stock market ended higher in the fourth straight session on Thursday. The Nifty 50 index gained 187 points and finished at a record closing high of 24,800. The BSE Sensex finished 626 points northward at 81,343, while the Bank Nifty index ended 223 points up at 52,620. However, the broad market finished lower than in the previous session. The small-cap index lost around 1.15 percent, whereas the mid-cap index nosedived around one percent.

Trade setup for Friday

On the outlook for the Nifty today, Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, said, "The upside momentum continued in the Nifty as per smaller degree higher highs and lows. The immediate support of the 10-day EMA continued to offer support during consolidations. Nifty is now advancing towards a key overhead resistance of 24,960. Hence, one may expect volatility/consolidations around 24950-25000 in the short term."

On the outlook for Bank Nifty today, Hrishikesh Yedve, AVP Technical and Derivatives Research at Asit C Mehta, said, “Bank Nifty index opened gap down, remained under pressure in the first half, but after that witnessed a strong recovery and finally settled the day on a positive note at 52,621 levels. Technically, on the daily scale, the index defended the 21-DEMA support of 52,020 levels. As long as the index holds above 52,000 levels, the ongoing bullish momentum will continue for Bank Nifty. On the upside, 52,800 and 53,000 will serve as strong resistance levels.”

On the outlook for the Indian stock market today, Siddhartha Khemka, Head of Retail Research at Motilal Oswal, said, "We expect this ongoing momentum to continue with stock-specific action. All eyes will be on the budget next week, which could set the tone for the next leg of the market rally."

Q1 results today

A total of 46 Dalal Street heavyweights will declare their Q1 results 2024 on Friday. Those 46 listed companies include Reliance Industries Ltd (RIL), Wipro, JSW Steel, BPCL, JSW Energy, One 97 Communications or Paytm, Union Bank of India, ICICI Lombard, Indian Hotels Company, Oberoi Realty, etc.

Buy or sell stock ideas by experts

Regarding stocks to buy today, stock market experts Sumeet Bagadia, Executive Director at Choice Broking, and Ganesh Dongre, Senior Manager of Technical Research at Anand Rathi, recommend buying these five buy-or-sell stocks: Mphasis, Finolex Industries, Mahindra & Mahindra (M&M), Bharti Airtel, and Cholamandalam Investment and Finance.

Sumeet Bagadia's stocks to buy today

1] Mphasis: Buy at ₹2833.25, target ₹2975, stop loss ₹2735.

Mphasis 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.

2] Finolex Industries: Buy at ₹331.70, target ₹355, stop loss ₹318.

Finolex Industries share has recently experienced a significant breakout from a falling parallel channel, indicating a continuation of its positive trend. This breakout is substantial as it is supported by high trading volumes, demonstrating robust momentum and strength in the current price movement.

Ganesh Dongre's buy or sell stocks

3] M&M: Buy at ₹2820, target ₹2920, stop loss ₹2760.

On the daily chart of this stock, a breakout at the Rs.2820 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 ₹2760 is recommended. The target price for this strategy is ₹2920 in the near term, suggesting a potential gain as the stock continues its upward trajectory.

4] Bharti Airtel: Buy at ₹1480, target ₹1520, stop loss ₹1455.

On the daily chart, the stock has shown a short-term reversal pattern. Specifically, a bullish engulfing pattern has formed, a strong indicator of potential upward movement. This technical pattern is considered bullish, suggesting that the stock may experience a price rise. Given this setup, traders might consider buying this stock, setting a stop loss at ₹1455 to manage risk. The target price for this trade is ₹1520, providing an opportunity for gains as the stock continues to demonstrate bullish behaviour.

5] Cholamandalam Investment and Finance: Buy at ₹1450, target ₹1490, stop loss ₹1425.

In the short term, the stock has seen a bullish reversal pattern. Technically, retrenchment could be possible until ₹1490. So, holding the support level of ₹1425, this stock can bounce toward ₹1490 in the short term. Hence, the trader can use a stop loss of ₹1425 for the target price of ₹1490.

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 making any investment decisions.