Stock market today: Trade setup for Nifty 50 to US dollar; 5 stocks to buy or sell on Monday — Dec 16 | Stock Market News

Stock market today: The Indian stock market closed with gains on Friday, December 13, as the markets witnessed a rebound. The index recovered its losses from the earlier sessions and closed in the green at the end of last week. The Nifty 50 index closed 0.89 per cent higher at 24,768.30 points, compared to 24,548.70 points at the previous market close.

The BSE Sensex index closed 1.04 per cent higher at 82,133.12 points on Friday, compared to 81,289.96 points at the previous market close.

Trade Setup for Monday

On the outlook for the Nifty 50 and the Bank Nifty index, Vaishali Parekh, vice president of technical research at Prabhudas Lilladher said, “Nifty has been finding resistance near the 24,850-zone and was subjected to some profit booking, plunging down to the 24,180-zone. But it witnessed a fast recovery to erase some of the losses and ended above the 100-period MA on the 24,700 zone. The bias and sentiment improved at the end of the week.”

“The index would have the important support zone of the 50EMA level at 24,400, which needs to be sustained to maintain the overall bias intact,” said the stock market expert.

“Bank Nifty has once again indicated a higher-low formation pattern, taking support near the 52,100 zone on the daily chart. With the pullback witnessed, the bias has improved, with targets of 54,500 and 55,000 levels anticipated in the coming days. The overall trend is positive till the time the 52,000 zone is sustained. Expect further gains,” said Parekh.

Parekh said that the Nifty 50 Spot for today has support at 24,600 points, while the resistance lies at 24,900 points. The Bank Nifty index would have a daily range of 53,200 to 54,000.

US Dollar

The United States Dollar Index Spot was trading 0.04 per cent higher at 107 as of 12:00 a.m. (EST) on December 13, according to the Bloomberg Dollar Index.

The dollar’s strength steadied against a basket of currencies, marking a second straight week of gains, according to the news agency Bloomberg on Friday. Other major global currencies, including the UK Pound, weakened after Britain’s economy unexpectedly contracted for a second straight month in October. The Euro gained after the European Central Bank (ECB) sounded less dovish on interest rates, forcing traders to make policy-easing bets for the coming year, as per the agency report. 

Stocks to buy today

Sumeet Bagadia, Executive Director at Choice Broking, has recommended two stock picks for today. Ganesh Dongre, Senior Manager of Technical Research at Anand Rathi, has suggested three stocks for Monday.

These include HCL Technologies, Titan Co., ICICI Securities, Axis Bank, and DLF.

Sumeet Bagadia stocks to buy today

1. HCL Technologies Ltd. (HCLTECH): Buy at ₹1,968.80; Target at ₹2,107; Stop Loss at 1,900.

HCL Technologies Ltd. (HCLTECH) is currently trading at ₹1,968.80, exhibiting a strong bullish trend, characterised by the formation of higher-highs and higher-lows on the weekly timeframe. After facing strong resistance at ₹1,950 for the past six days, the stock has recently closed above this level, with a strong bullish candlestick formation in daily-time frame, confirming its upward momentum. This breakout is further supported by a substantial increase in trading volumes, reflecting strong buying interest from investors. Given this momentum, HCLTECH appears poised to target ₹2,107 in the short term.

The Relative Strength Index (RSI) is 68.19, indicating robust bullish momentum. Additionally, the stock is trading comfortably above its 20-day, 50-day, and 200-day Exponential Moving Averages (EMAs), reinforcing the positive trend.

If HCLTECH sustains above the key resistance level of ₹2,000, it presents a favourable opportunity for long positions. Traders may consider entering at the current price, with a short-term target of ₹2,107, while placing a stop-loss at ₹1,900 to manage risk effectively. Given the elevated RSI and potential short-term market volatility, employing sound risk management practices is essential to mitigate any downside risks. 

2. Titan Company Ltd. (TITAN): Buy at 3,508.85; Target at ₹3,755; Stop Loss at ₹3,386. 

Titan Company Ltd. (TITAN) is currently trading at ₹3,508, exhibiting a strong uptrend as it continues its upward reversal from lower levels, signalling sustained bullish momentum. The stock has formed a bullish engulfing candlestick pattern on the daily time frame and is on the verge of breaking the key resistance level of ₹3,517. A breakout above this level is expected to enhance market sentiment, favouring buyers. TITAN is trading comfortably above its 20-day, 50-day, 100-day, and 200-day Exponential Moving Averages (EMAs), further reinforcing the bullish trend.

The Relative Strength Index (RSI) is at 65.67 and trending upward, indicating growing buying momentum. If the stock sustains above ₹3,580 and achieves a decisive breakout, it could propel toward its next short-term target of ₹3,755, continuing its upward trajectory. On the downside, immediate support is identified at ₹3,400.

To manage risk effectively, a stop-loss at ₹3,386 is recommended to safeguard against unexpected market reversals. Based on the current technical setup and prevailing market conditions, TITAN presents a promising buying opportunity with a target of ₹3,755, provided appropriate risk management measures are implemented.

Ganesh Dongre stocks to buy today

3. ICICI Securities Ltd. (ISEC): Buy at ₹844; Target at ₹910; Stop Loss at ₹865.

In the recent short-term trend analysis of the stock, a notable bullish reversal pattern has emerged. This technical pattern suggests the possibility of a temporary retracement in the stock’s price, potentially reaching around ₹910. At present, the stock is maintaining a crucial support level at ₹865. Given the current market price of ₹884, a buying opportunity is emerging. This suggests that investors might consider purchasing the stock at its current price, anticipating a rise towards the identified target of ₹910.

4. Axis Bank Ltd. (AXISBANK): Buy at ₹1,148; Target at ₹1,180; Stop Loss at ₹1,115.

We have seen a major support in this stock around ₹1,115 So, at the current juncture, the stock has again seen a reversal price action formation at the ₹1,148 price level. It may continue its rally till its next resistance level of ₹1,180. So traders can buy and hold this stock with a stop loss of ₹1,115 for the target price of ₹1,180 in the upcoming weeks.

5. DLF Ltd. (DLF): Buy at ₹870; Target at ₹890; Stop Loss at ₹845.

A notable bullish reversal pattern has emerged in the stock’s recent short-term trend analysis. This technical pattern suggests that there could be a temporary retracement in the stock’s price, possibly to around ₹960. Currently, the stock is holding a crucial support level at ₹845.

Given this scenario, there is potential for the stock to rebound towards the ₹890 level in the near future. Traders are advised to consider taking a long position, with a strategic stop loss set at ₹845 to manage risk effectively. The target price for this trade is ₹890, reflecting the anticipated upward movement, based on the identified technical. 

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 taking any investment decisions.