Rajesh Palviya of Axis Sec suggests Glenmark Pharma, Marico, SAIL shares to buy on 24 April
Stock market today: The domestic benchmark indices, Nifty 50 and Sensex edged lower on Friday, 24 April extending losses for a third straight session, as elevated oil prices and weakness in IT stocks weighed on sentiment after Infosys issued a subdued revenue outlook.
The Nifty 50 declined 0.66% to 24,013.75, while the BSE Sensex fell 0.76% to 77,074.63 as of 9:37 IST. On a weekly basis, the indices are down 1.4% and 1.8%, respectively, and are on track to snap a two-week winning streak.
Selling pressure was broad-based, with all 16 major sectoral indices trading in the red. Broader markets also weakened, with midcap and smallcap indices declining around 0.5% each.
The IT sector was one of the largest underperformers, declining by 2.3%, primarily due to a 3% drop in Infosys.
At the same time, Brent crude prices remained close to $106 per barrel as tensions around the Strait of Hormuz escalated. Experts indicate that the current market weakness is being fueled by a combination of increasing oil prices, a depreciating rupee approaching the 94 mark, ongoing foreign capital outflows, and volatility from the earnings season.
Share Market Tips and Nifty 50 Outlook by Rajesh Palviya, SVP – Technical and Derivatives Research, Axis Securities
Nifty 50
Over the past couple of sessions, the index has seen profit booking from the earlier resistance zone of 24,500–24,600, which remains a crucial level. Any closing basis violation of the 24,000 level may cause profit booking toward the 23,800–23,600 levels. Currently, the index is trading below its 50, 100, and 200 -day SMAs, which reconfirms the medium-term downtrend.
Stocks to buy
Glenmark Pharmaceuticals Ltd Cmp: ₹2,347
Glenmark Pharma has registered an all-time high at 2,359 and has also decisively surpassed the “multiple resistance” zone of 2,300 levels, indicating resumption of the prior uptrend. This breakout occurred with huge volume, indicating increased participation. The stock is well placed above its 20, 50, 100 and 200-day simple moving averages (SMAs). These averages are also inching up along with prices, which reconfirms bullish sentiment. The daily and weekly “Bollinger Band” buy signals indicate increased momentum. The daily, weekly and monthly Relative Strength Index (RSI) is in favourable territory, indicating rising strength across all time frames.
Investors should consider buying, holding, and accumulating this stock. Its expected upside is ₹2,455-2,550, and its downside support zone is the ₹2,300-2,240 levels.
Marico Ltd Cmp: ₹778
On the daily chart, Marico broke out past the 770 level, which had acted as multiple resistance, accompanied by rising volumes indicating increased participation. On the weekly chart, the stock is trending up in an “up-sloping channel,” indicating a strong uptrend. The stock is strongly placed above its 20, 50, 100 and 200-day SMAs, which reconfirms bullish sentiment. The daily and weekly Relative Strength Index (RSI) is in favourable territory, indicating rising strength across all time frames.
Investors should consider buying, holding, and accumulating this stock. Its expected upside is ₹795-810, and its downside support zone is the ₹760–765 levels.
Steel Authority of India Ltd (SAIL) Cmp: ₹176
On the daily and weekly charts, SAIL is in a strong uptrend, forming a series of higher tops and bottoms, which indicates bullish sentiment. On the weekly chart, the stock confirmed a “rounding bottom” formation breakout to the 170 level, indicating a positive bias. The daily, weekly and monthly Relative Strength Index (RSI) is in favourable territory, indicating rising strength across all time frames. The stock is well placed above its 20, 50, 100 and 200-day simple moving averages (SMAs). These averages are also inching up along with prices, which reconfirms bullish sentiment.
Investors should consider buying, holding, and accumulating this stock. Its expected upside is ₹183-190, and its downside support zone is the ₹170-165 levels.
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
