Stock market today: Trade setup for Nifty 50 to US dollar; 5 stocks to buy or sell on Thursday — 9 January 2025 | Stock Market News

Stock market today: The domestic stock markets avoided a significant drop on Wednesday, January 8, as the index heavyweights like Reliance Industries supported the indices to recover and close marginally in the red zone. The Nifty 50 index closed 0.08 per cent lower at 23,688.95 points, compared to 23,707.90 points at the previous close.

The BSE Sensex index closed 0.06 per cent lower at 78,148.49 points compared to 78,199.11 points at the previous stock market close. 

Trade Setup for Monday

On the outlook for the Nifty 50 and the Bank Nifty index, Parekh said, “Nifty witnessing a volatile session once again maintained the important support zone of 23,500 levels and with a pullback seen has closed on a flat note with the index precariously placed having the bias and sentiment maintained with a cautiously positive approach.”

“The index would need to sustain above the 23,800 level and thereafter, the significant 200 period MA of 23,920 level to improve the bias and establish conviction to anticipate for further upward move in the coming days,” said the stock market expert.

“Bank Nifty, breached below the important support zone of 49,700 levels during the intraday session and with some recovery witnessed, managed to close near the 49,800 zone with bias maintained with a cautious approach as of now. As mentioned earlier, the index needs to move past the important 200 period MA at 50,700 zone to regain some strength and only a decisive breach above the 50-DEMA zone of 51,650 level shall improve the bias overall,” said Parekh.

Parekh said that the Nifty 50 Spot for today has support at 23,500 points and resistance at 23,900 points. The Bank Nifty index would have a daily range of 49,800 to 50,700. 

US Dollar

The United States Dollar Index Spot was trading 0.44 per cent higher at 109.023 as of 11:58 a.m. (EST) on Janaury 8, 2025, according to the Bloomberg Dollar Index.

The US Dollar was trading stronger on Wednesday, and the oil prices in both Brent and West Texas Intermediate climbed but then pared their gains on a strengthening US Dollar, reported the news agency Reuters.

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 Thursday.

These include Anant Raj Ltd, SRF Ltd, Reliance Industries Ltd, Bharti Airtel Ltd, and Aditya Birla Capital Ltd.

Sumeet Bagadia stocks to buy today

1. Anant Raj Ltd. (ANANTRAJ): Buy at ₹935.55; Target at ₹990; Stop Loss at ₹900.

ANANTRAJ daily chart analysis offers a favourable view for the following week, indicating a steady higher advance. Notably, the stock has produced a notable higher high and higher low pattern, and the company’s recent upward swing has effectively violated the neckline, establishing a new week high. This breakthrough indicates the possibility of a significant follow-through upward increase in the stock price.

Adding to the positive momentum, there has been an increase in trading volume, indicating growing market interest. The stock formed a strong momentum moves signifying a potential continuation of the uptrend following and the daily strength indicator RSI (14) is moving upwards and positioned above its reference line indicating a positive bias. Furthermore, ANANTRAJ is currently trading above its crucial 20-day, 50-day, and 100-day Exponential Moving Average (EMA) levels, reinforcing the bullish trend. Given the overall chart pattern, the analysis suggests a favourable long trading opportunity for investors.

2. SRF Ltd. (SRF): Buy at ₹2,350.95; Target at ₹2,516; Stop Loss at ₹2,268.

SRF Limited is currently trading at ₹2,350.95 and is on the verge of breaking out from a consolidation range on the daily chart. This potential breakout is supported by a sustained increase in trading volumes, strengthening the bullish outlook for the stock. If SRF manages to hold above the key resistance level of ₹2,375, it could witness a significant upward movement, with a potential target of ₹2,516.

The Relative Strength Index (RSI) is currently at 62.13 and trending upward, indicating increasing buying momentum. Additionally, the stock is trading above its key moving averages, including the short-term 20-day EMA and medium-term 50-day EMA, while approaching the 200-day EMA. A close above the 200-day EMA will further reinforce the ongoing bullish trend.

Given the favorable technical setup and positive signals from key indicators such as RSI and moving averages, SRF presents a strong buying opportunity. Entering the stock at the current market price of ₹2,350.95, with a stop loss at ₹2,268 and a target of ₹2,516, offers a compelling strategy to capitalize on its bullish momentum.

Ganesh Dongre stocks to buy today

3. Reliance Industries Ltd. (RELIANCE): Buy at ₹1,263; Target at ₹1,310; Stop Loss at ₹1,240.

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 ₹1,310. At present, the stock is maintaining a crucial support level at ₹1,240. Given the current market price of ₹1,263, 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 ₹1,310.

4. Bharti Airtel Ltd. (BHARTIARTL): Buy at ₹1,602; Target at ₹1,635; Stop Loss at ₹1,585.

We have seen a major support in this stock around ₹1,585 So, at the current juncture, the stock has again seen a reversal price action formation at the ₹1,602 price level, which may continue its rally till its next resistance level of ₹1,635 so traders can buy and hold this stock with a stop loss of Rs.1585 for the target price of ₹1,635 in the upcoming weeks.

5. Aditya Birla Capital Ltd. (ABCAPITAL): Buy at ₹179; Target at ₹186; Stop Loss at ₹174.

In the recent short-term trend analysis of the stock, a notable bullish reversal pattern has emerged. This technical pattern suggests that there could be a temporary retracement in the stock’s price, possibly to around ₹186 Currently, the stock is holding a crucial support level at ₹174.

Given this scenario, there is potential for the stock to rebound towards the Rs. 186 level in the near future. Traders are advised to consider taking a long position, with a strategic stop loss set at ₹174 to manage risk effectively. The target price for this tradeisRs 186.

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.