Stocks to buy: Raja Venkatraman recommends three stocks for today — 24 December
Summary
- Here are three stock recommendations by Raja Venkatraman of NeoTrader for Tuesday, 24 December.
Nifty 50 on 23 December: Recap
On 23 December, the benchmark indices Nifty and Sensex came off their highs during the afternoon session, but managed to close the day in positive territory. This was largely due to a rebound in major stocks like JSW Steel, ITC and Hindalco. This recovery provided some relief from the heavy selling pressure experienced last week, which had dragged the key indices down by 5%, marking their worst performance in over two years.
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Indian stock markets: Way forward
With some hint of recovery, we need to move ahead with caution amid a break in between the trading week. The option data is hinting at 23500 for Nifty seeing some strong put writing that is holding back the selling pressure. The trends are clearly not stable, and one needs to watch out for limited cues. Despite some patches of positive outlook, there was not enough movement witnessed. As the overall bias is still bearish, one witnessed selling pressure emerging at higher levels. The resistance zones around 23900 will continue to be the immediate hurdle with the next being at 24900. Bank Nifty is still recovering from last week's meltdown and will need more triggers to stage ahead as 52000 continues to remain a hurdle.
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Three stocks recommended by NeoTrader’s Raja Venkatraman:
• TVS Motor: Sell below ₹2380, stop ₹2400, target ₹2350
As auto stocks are losing sheen, markets are turning bearish in this sector. One needs to consider revising their approach as prices are found slipping. With negative bias in play, we need to plan the road ahead. Consider going short on this counter.
• Oberoi Realty: Buy at ₹2266, stop ₹2245, target ₹2305
This counter has been able to navigate the negative reaction and revive quite swiftly, thus indicating that every pullback into support is a good initiative to go long. With positive momentum seen in real estate counters across the board, one can watch this stock. As momentum setup hints at the positive trends emerging at lower levels with the potential to rise further.
• Universal Cables: Buy at ₹756, stop ₹725 target ₹825
After showing some steady Q2 numbers, the stock hints at higher levels. In the last few days, the daily charts indicate that the bullish momentum will head higher. As value resistance area around ₹750 is surpassed, we can expect more upside in the coming days.
Raja Venkatraman is co-founder, NeoTrader.
Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before making any investment decisions.
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