Stocks to buy: Raja Venkatraman recommends three stocks for today—11 December
Source: Live Mint
Nifty 50 on 10 December: Recap
On 10 December, Indian stock market benchmarks, the Sensex and Nifty 50, ended the session flat, with limited overall gains. However, stock-specific action kept market participants engaged. The realty sector stood out, advancing over 1%, while IT and PSU banks also contributed to the gains. On the flip side, media and energy sectors lagged.
Read this | Buying quality stocks in challenging times is a winning long-term strategy
Despite subdued trends, resistance levels in the Nifty kept broader movements in check. In contrast, the Bank Nifty outperformed, with banks managing to sustain existing trends. While the road ahead remains uncertain, a growing bullish sentiment suggests the potential for markets to break above last Friday’s high.
Indian stock markets: Way forward
In our previous issue, we noted, “Immediate supports are seen at 24,500, where we can expect some bullish bias to emerge.” As anticipated, the markets dipped to the mentioned levels before staging a strong recovery, reigniting a bullish sentiment.
With trends once again showing positive traction, the focus should shift to identifying stocks that are resuming their upward momentum. However, the current scenario suggests a period of slow and steady movements, which may persist in the coming days. Global cues will likely play a critical role in driving the next leg of market direction.
Read this | What’s behind the sudden 100% surge in this financial stock? Is there more to come?
With trends showing limited momentum to sustain or move higher, it’s time to reassess the next course of action. Options data indicates resistance in Nifty has shifted to 25,000, with steady call shorting curbing bullish sentiment. Meanwhile, immediate support remains at 24,500, defining a likely trading range between 24,500 and 25,000 for the week.
The Put Call Ratio (PCR) has dipped to 0.69 for Nifty and 0.80 for Bank Nifty, suggesting the markets may be nearing oversold levels. Notably, Bank Nifty has cleared the critical 53,000 mark, placing it in a relatively stronger position. This could enable Bank Nifty to take the lead in driving the broader market higher.
Three stocks to buy, recommended by NeoTrader’s Raja Venkatraman:
• GHCL: Buy at ₹717, stop ₹670, target ₹787
GHCL Textiles manufactures high-quality cotton yarn and home textiles and is having pan India presence. Strong thrust to the upside in the last few trading sessions while the market is range bound indicates that this stock has been finding some steady demand. As prices head to a new high one can look to participate.
Also read | Three large-cap stocks breaking out on charts
• CENTRUM: Buy at ₹40.50, stop ₹38, target ₹45
Centrum Capital is a dominant player in cross border mergers and acquisitions. The recent declines since last 6 months the prices have found some good support at the Ichimoku clouds the trends have shown some resumption of upward bias. One can consider going long.
• PHOENIX: Buy at ₹1865, stop ₹1820 target ₹1925
Phoenix, a midcap real estate company in the showing some sharp recovery in the last few days. Yesterday’s move showing some steady acceleration with a positive crossover we can consider some trended move in the coming days. As demand is stepping up we can look to buy this counter.
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 taking any investment decisions.
