Stock market today: Trade setup for Nifty 50 to Q1 results 2024, five stocks to buy or sell on Wednesday — July 10

Indian stock market: Indian stock market benchmarks—the Nifty 50 and the Sensex—achieved new record highs despite mixed global signals, on Tuesday.

The Nifty 50 reached an all-time high of 24,443.60, while the Sensex peaked at 80,397.17 during the session. The Nifty 50 closed the day at 24,433.20, up by 113 points or 0.46%, while the Sensex concluded with a gain of 391 points or 0.49% at 80,351.64. Both indices finished at their highest closing levels to date.

Trade setup for Wednesday

On the outlook for Nifty today, Rupak De, Senior Technical Analyst, LKP Securities, said, “Nifty remained strong throughout the day, holding the support level of 24,300. The sentiment is likely to remain positive as long as it stays above 24,300, where significant put writing has occurred. On the higher end, the 24,500-24,600 range might act as an immediate resistance zone. Overall, the sentiment may continue to favor the bulls in the near term unless the index falls below 24,300.”

On the outlook for Bank Nifty today, Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities, said, "The Bank Nifty index witnessed a consolidated move and is stuck in a range between 52700-52100. A decisive break on either side will lead to trending moves. The index remains in a buy-on-dip mode, and a break above 52700 will open up further upside towards 53000, where the highest open interest is built up on the call side. However, if the index fails to hold the support of 52100-52000, it can decline further towards the 51700-51500 mark."

Buy or sell stock ideas by experts

Regarding stocks to buy today, stock market experts Sumeet Bagadia, Executive Director at Choice Broking, and Ganesh Dongre, Senior Manager of Technical Research at Anand Rathi, recommended buying these five buy-or-sell stocks: Tega, Welcorp, Indigo, ATGL, and Navinfluor.

Sumeet Bagadia's stocks to buy today

1] Tega Industries: Buy at ₹1845.15, target ₹1940, stop loss ₹1777

TEGA is currently trading at ₹1845.15. After a period of small falls and sideways consolidation, the stock has lately broken the neckline levels of ₹1800 and is rising quickly on the upside with substantial volume. There are expectations of further upward movement, potentially reaching ₹1940 levels. On the downside, substantial support is evident near ₹1777.

Furthermore, TEGA is trading above key Exponential Moving Averages (EMAs), including the 20-day, 50-day, 100-day, and 200-day EMAs. This suggests a strong bullish momentum, indicating the potential for continued upward price action. The Relative Strength Index (RSI) stands at 69.03, signalling an upward trajectory and confirming an increase in buying momentum.

In summary, considering the technical analysis and prevailing market conditions, TEGA appears to present a promising buying opportunity for those targeting a ₹1940 price objective, contingent upon the implementation of prudent risk management measures.

To manage risk effectively, it is advisable to set a stop-loss (SL) at ₹1777 to protect the investment in case of an unexpected market reversal.

2] Welcorp: Buy at ₹643.55, target ₹675, stop loss ₹620

WELCORP Industries has recently exhibited a robust breakout from the critical resistance zone of 600-630 on the daily chart, consolidating the move with higher highs and higher lows. This breakout is supported by a notable increase in trading volume, indicating strong bullish sentiment.

Key technical indicators, particularly the Relative Strength Index (RSI), emphasize the stock's positive momentum. The RSI not only signals positive trends but also aligns with the stock trading above crucial moving averages, including the 20-day, 50-day, and 200-day Exponential Moving Averages (EMA). This convergence underscores the sustained strength in WELCORP Industries price action.

In summary, the decisive breakout, coupled with favourable volume and a positive alignment of key technical indicators, suggests a bullish outlook for WELCORP Industries. Traders and investors may find this analysis indicative of potential continued upward momentum in the stock.

Based on the above analysis we recommend buying WELCORP Industries in cash at CMP of 643.55 for the target of 675 with a stop loss of 620.

Ganesh Dongre's buy or sell stocks

3] Indigo: Buy at ₹4305, target ₹4450, stop loss ₹4230

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 Rs. 4450. At present, the stock is maintaining a crucial support level at Rs. 4230. Given the current market price of Rs. 4305, 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 Rs.4450.

4] ATGL: Buy at ₹993, target ₹1030, stop loss ₹970

On the daily chart of this stock, a breakout at the Rs. 990 price level has been observed, signaling a potential upward trend. Complementing this breakout, the Relative Strength Index (RSI) is still turning up, indicating increasing buying momentum. Given these technical indicators, traders can consider buying on dips, entering the stock at a lower price point. To manage risk, a stop loss at Rs. 970 is recommended. The target price for this strategy is Rs. 1030 in the upcoming weeks, suggesting a potential gain as the stock continues its upward trajectory.

5] Navin Fluorine International Limited: Buy at ₹3695, target ₹3800, stop loss ₹3600

On the daily chart, the stock has shown a short-term reversal pattern. Specifically, a bullish engulfing pattern has formed, which is a strong indicator of potential upward movement. This technical pattern is considered bullish in nature, suggesting that the stock may experience a rise in price. Given this setup, traders might consider buying this stock, setting a stop loss at Rs. 3600 to manage risk. The target price for this trade is Rs. 3800, providing an opportunity for gains as the stock continues to demonstrate bullish behavior.

Disclaimer: The views and recommendations provided in this analysis are those of individual analysts or broking companies, not Mint. We strongly advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and individual circumstances may vary.