Stock market today: Trade setup for Nifty 50 to Q1 results today, five stocks to buy or sell on Friday — July 12

Stock market today: Despite strong global market sentiments, the Indian stock market traded sideways and ended flat on Thursday. The Nifty 50 index ended marginally lower at 24,315, while the BSE Sensex shed 24 points and finished at 79,897. The Bank Nifty index gained 81 points and closed at 52,270. After rising for three straight sessions, the India VIX Index crashed over 3 percent and ended at 14 mark.

Trade setup for Friday

On the outlook for Nifty today, Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, said, "The underlying trend of Nifty remains choppy with positive bias. A sustainable move above 24,500 is expected to open the next upside target of 24,900 soon. The immediate support for Nifty today is at 24,150."

On the outlook for Bank Nifty today, Om Mehra, Technical Analyst at SAMCO Securities, said, “Bank Nifty ended the session at 52,270.65, up 0.16%. On the daily time frame, Bank Nifty has formed a long-legged Doji, indicating indecision in the short term. The index has slipped below its 10-day moving average (DMA), and the hourly chart displays lower lows and lower highs, suggesting a bearish trend. The immediate support level stands at 52,000, which aligns with the 20 DMA. Weakness is expected to persist if the index slips below 51,900. Conversely, breaking through the resistance at 52,530 could drive the index toward the 53,000-53,200 zone.”

Speaking on the outlook for the Indian stock market today, Siddhartha Khemka, Head - Retail Research at Motilal Oswal, said, "Markets are trading sideways without any fresh triggers and inflation data due to release. However, sector and stock-specific actions continue as we enter into Q1 results season and ahead of the union budget. Markets today will react to US inflation data released on Thursday. The IT sector will be focused as TCS Q1 results align with expectations. At the same time, the commentaries will be keenly monitored. Overall strength is seen in the market as every dip is being bought, supported by strong domestic flows aided by FIIs buying in the last few days."

Q1 results today

Eleven listed companies on the Indian stock market will declare their Q1 results 2024 on Friday. These include HCL Technologies, the Indian Renewable Energy Development Agency (IREDA), Oriental Hotels, Vipul, and Setco Automotive.

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: CESC, CMS Info Systems, Ashok Leyland, SBI, and Affle India.

1] CESC: Buy at ₹192, target ₹201, stop loss ₹185.

The daily chart analysis of CESC reveals a promising outlook for the upcoming week, signalling a sustained upward movement. Notably, the stock has formed a significantly higher high and higher low pattern, and the recent upward swing has successfully breached the neckline, establishing a new week high for the stock. This breakout suggests the potential for a substantial follow-through upward movement in the stock price.

2] CMS Info Systems: Buy at ₹527.30, target ₹555, stop loss ₹510.

CMS Info Systems share is exhibiting bullish solid momentum, trading at an all-time high of ₹532. This breakout has been accompanied by a consolidation of the upward movement, characterized by higher highs and higher lows, supported by robust trading volumes, reinforcing the strength of the stock. The breakthrough suggests a potential continuation of the upward trend, offering an optimistic outlook for investors.

Ganesh Dongre's buy or sell stocks

3] Ashok Leyland: Buy at ₹227, target ₹238, stop loss ₹222.

On the daily chart of this stock, a breakout at the ₹227 price level has been observed, signalling 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 of ₹222 is recommended. The target price for this strategy is ₹238 in the upcoming weeks, suggesting a potential gain as the stock continues its upward trajectory.

4] State Bank of India or SBI: Buy at ₹857, target ₹890, stop loss ₹834.

On the daily chart, the stock has shown a short-term reversal pattern. Specifically, a bullish engulfing pattern has formed, a strong indicator of potential upward movement. This technical pattern is considered bullish, suggesting that the stock may experience a price rise. Given this setup, traders might consider buying this stock, setting a stop loss at ₹834 to manage risk. The target price for this trade is ₹890, providing an opportunity for gains as the stock continues to demonstrate bullish behaviour.

5] Affle India: Buy at ₹1410, target ₹1450, stop loss ₹1375.

In the short term, the stock has seen a bullish reversal pattern. Technically, retrenchment could be possible until ₹1450. So, holding the support level of ₹1375, this stock can bounce toward ₹1450 in the short term. Hence, the trader can use a stop loss of ₹1375 for the target price of ₹1450.

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.