As the Indian stock market opens on November 18, 2024, investors are keenly looking for actionable insights to navigate the current volatility. Vaishali Parekh, Vice President of Technical Research at Prabhudas Lilladher, has identified three stocks that present buying opportunities amid the ongoing market fluctuations: Indian Hotels Co. Ltd, Biocon Ltd, and DLF Ltd.
Current Market Overview
The Nifty 50 index has been under pressure, closing lower for six consecutive sessions prior to the holiday on November 15 due to Guru Nanak Jayanti. The index settled at 23,532.70, down by 26.35 points or 0.11%. The BSE Sensex also faced a decline of 110.64 points, closing at 77,580.31.According to Parekh, the Nifty 50 has established support at the 23,400 mark and faces resistance at 23,700 points. The index is currently hovering around its crucial 200-period moving average (MA) at 23,540, which could serve as a pivotal point for future movements.
Technical Analysis Insights
Parekh notes that the Nifty’s recent formation indicates a cautious market sentiment. The index’s inability to breach above the 23,700-24,000 range may lead to further declines if it fails to maintain support around 23,400. A decisive drop below this level could push the Nifty towards the next significant support near 22,800.
Bank Nifty Outlook
The Bank Nifty index has also shown weakness, dipping below the 50,000 mark. Parekh mentions that a breach below the key support of 49,750 could trigger additional selling pressure. The expected range for Bank Nifty today is between 49,700 and 50,700.
Stocks Recommended by Vaishali Parekh
- Indian Hotels Co. Ltd (INDHOTEL)
- Buy Price: ₹741
- Target Price: ₹750
- Stop Loss: ₹725
Indian Hotels has shown resilience in the hospitality sector and is well-positioned to benefit from the recovery in travel and tourism.
- Biocon Ltd (BIOCON)
- Buy Price: ₹335
- Target Price: ₹360
- Stop Loss: ₹320
Biocon continues to be a strong player in the biopharmaceutical space with promising growth prospects driven by its diverse product portfolio.
- DLF Ltd (DLF)
- Buy Price: ₹762
- Target Price: ₹785
- Stop Loss: ₹740
DLF’s solid fundamentals and ongoing projects in residential and commercial real estate make it an attractive investment option.
Conclusion
As traders prepare for today’s session, it is essential to keep an eye on these recommended stocks while being mindful of the broader market trends and technical indicators outlined by Vaishali Parekh. The cautious approach suggested by Parekh reflects the current market sentiment and highlights the importance of strategic planning in trading.
