Stocks in focus: Rajesh Palviya of Axis Securities recommends Titan, Rupa & Company, and Balrampur Chini today

Stock Market News: Thedomestic benchmark indices, the Sensex and the Nifty 50, opened the day with slight gains as they continued their upward trend.

The Nifty 50 index rose 33.60 points, or 0.14%, to 24,845.10 points at the start of the day. In a similar vein, the Sensex began at 81,165.65 points, up 112.46 points, or 0.14%.

The market will be watching Jerome Powell's remarks about the economy and the potential trend of rate cuts at Jackson Hole today on a global scale. Powell is probably going to sound dovish, suggesting a September rate reduction.

The market is seeing substantial sectoral churning, according to Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services. The PSU stock market surge, which produced fantastic gains in recent months, is waning. The PSU banks' remarkable recovery from losses of Rs. 87000 crores in FY 2018 to profits of Rs. 1.41 lakh crores in FY 2024 is now complete for PSU banking stocks. However, this area is still valued attractively.

Defense and many railway equities have solid growth potential, but recent corrections have been necessary since, in most cases, values have outpaced fundamentals. In this non-valuation-comfortable environment, money is flowing into private sector financials where valuations are appealing and fair. This churning is fundamentally sound, explained Vijayakumar.

Share Market Tips and Nifty 50 Outlook by Rajesh Palviya, SVP - Technical and Derivatives Research, Axis Securities

Since July 2024, the benchmark index has been consolidating, within 25,000-23,900 levels, which indicates a short-term sideways trend. However, the medium and long-term trends are still bullish. Currently, the index is also staying below its 20-day SMA, confirming weakness on the short-term charts. With the current close, Nifty is approaching the "bearish gap" (24,956-24,851), which is a crucial resistance zone. Any decisive close above the gap area may lead momentum towards 25,000-25,300 levels. On the other hand, the short-term support is placed around 24,500-24,300 levels.

Stocks in focus today - Stock recommendation for Friday by Rajesh Palviya

Titan Company Ltd (CMP): ₹3,601

Currently, the stock has shown a trend reversal on the daily and weekly timeframe, indicating bullish sentiments ahead. It is trading well above its 20, 50, 100, and 200 day SMA, confirming the bullish sentiments. The daily "Bollinger Band" buy signal suggests increased momentum. Additionally, it has confirmed a breakout from a six-month "down-sloping trendline" at the 3490 levels, indicating a trend reversal. This breakout is supported by high trading volumes, signifying increased participation. The daily, weekly, and monthly RSI is in positive terrain, indicating increasing strength.

Investors should buy, hold and accumulate this stock with an expected upside of ₹3,820-3,900 with downside support zone of ₹3,450-3,300 levels.

Rupa & Company Ltd (CMP): ₹349

On the weekly time frame, the stock has confirmed a "triangular" breakout at the 318 level on a closing basis. This breakout is accompanied by huge volumes, indicating increased participation. The stock is well-placed above its 20, 50, 100, and 200-day SMA, and these averages are also trending upwards along with the price rise, which reconfirms a bullish trend. The weekly "Bollinger Band" buy signal suggests increased momentum. The daily, weekly, and monthly RSI are in positive terrain, showing rising strength.

Investors should buy, hold and accumulate this stock with an expected upside of ₹385-410 with downside support zone of ₹323-303 levels.

Balrampur Chini Mills Ltd (CMP): ₹585

The stock is showing a strong uptrend across all time frames, forming a series of higher tops and higher bottoms, which indicates bullish sentiments. It has also reached an all-time high at 585 levels, confirming the bullish trend. The weekly and monthly Bollinger Bands indicate a buy signal, signaling increased momentum. Additionally, the daily, weekly, and monthly RSI is in positive terrain, showing rising strength.

Investors should buy, hold and accumulate this stock with an expected upside of ₹625-665 with downside support zone of ₹555-535 levels.

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