Top Stock Recommendations: Sagar Doshi of Nuvama recommends Havells, Deepak Nitrite, LIC Housing and APL Apollo today

Stock Market News: The domestic benchmark equity indices, the Sensex and the Nifty 50, started off higher on Wednesday's session on favourable global cues and led by advances in metals and auto stocks.

Chief Investment Strategist Dr. V K Vijayakumar of Geojit Financial Services highlighted that the current bull market, which has overcome all obstacles, whether they economic or geopolitical, is proof positive that bull markets can overcome all obstacles.

The NSE Nifty 50 opened at 22,421.55, up 53.50 points, or 0.24%, while the 30-share BSE Sensex started off at 73,957.57 level, up 213.65 points, or 0.29%.

Also Read: Sensex Today Live Updates : Sensex, Nifty green at open, following Asian peers higher; Tata Cons., HUL in focus

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The benchmarks at Dalal Street extended their winning run for the third day in a succession on Tuesday, with tensions between Iran and Israel taking a backseat. The sectoral indices showed mixed bag; the Realty Index was up 2.58%, but the Pharma Index was down 0.96%. India VIX has dropped to 10.30 levels, a further 18.90% decrease.

In Tuesday's trade, the Nifty Midcap 50 finished 0.73% higher and the Nifty Smallcap Index finished even higher, up 1.23%.

The 30-share BSE Sensex closed at 73,738.45 level, up 89.83 points, or 0.12%. The NSE Nifty 50 ended at 22,368.00, up 31.60 points, or 0.14%.

Also Read: Stocks to Watch: Tata Consumer, HUL, ICICI Pru., Tata Elxsi, Lupin, Dr Reddy's

Nifty 50 Outlook by Sagar Doshi, Senior Vice President- Research, Nuvama Professional Clients Group

The Nifty 50 has recovered over 3% from its recent swing low in the past 3 trading days. Built up off over 100k short contract positions from FII desks has been triggering excessive short covering on the same, which is providing thrust to the index. The set-up has once again turned into a buy-on-dip mode, with dips below 22,300 now acting as the demand zone for targets of 22,700+. Stoploss on this set-up is seen at 22,150, said Sagar Doshi, Senior Vice President-Research, Nuvama Professional Clients Group.

Bank Nifty Outlook

The Bank Nifty is now back above its previous breakout zone of 47,700. The index has recovered close to 1,500 odd points in the past three trading days. Bank Nifty is likely to fetch further positive momentum for targets on the upside to scale towards 49,100 odd. 47,600 odd is likely to act as a support zone on the downside.

Also Read: Nifty 50, Sensex today: What to expect from Indian stock market in trade on April 24

Top Stock Recommendations by Sagar Doshi

On top stock recommendations for Wednesday, Sagar Doshi has recommended three stocks:

Havells India Ltd (BUY) : LCP: ₹1,547; Stop Loss: ₹1,489; Target Price: ₹1,650

A swing breakout registered in the stock after completing its retest of the previous multiyear breakout reinforces strong bullish momentum.

Deepak Nitrite Ltd (BUY): LCP: ₹2,365; Stop Loss: ₹2,284; Target Price: ₹2,533

Stock has given a follow-through to the ascending triangle breakout registered earlier this month. Momentum indicators have also given swing breakouts, indicating bullish momentum to continue.

LIC Housing Finance Ltd (BUY): LCP: ₹669.30; Stop Loss: ₹647.00; Target Price: ₹717.50

A 2-month consolidation ends for the stock as it closes at a 2-month high. A bullish crossover in RSI indicates another round of bullish momentum is about to begin.

APL Apollo Tubes Ltd (BUY) : LCP: ₹1,568; Stop Loss: ₹1,500; Target Price: ₹1,660

Stock has been holding above its 200 DMA for the past couple of trading sessions now. The swing structure is showing a hit on the upside falling trendline resistance of 1660 odd with a gathering of bullish bias.

Also Read: Indian stock market: 7 key things that changed for market overnight - Gift Nifty, Tesla Q1 results to US PMI data

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.