As the Indian stock market gears up for trading on December 16, 2024, Sumeet Bagadia, Executive Director at Choice Broking, has identified three stocks that investors should consider buying. Following a positive trend where the Nifty 50 index closed above 24,700, these recommendations come as the market shows signs of a fresh breakout.
Current Market Overview
The Indian stock market has recently experienced volatility but ended on a high note last Friday. The Nifty 50 index surged 219 points to close at 24,768, while the BSE Sensex climbed 860 points to reach 82,150. This upward movement indicates a significant shift in market sentiment, with analysts predicting potential targets around 25,200 for the Nifty in the near term.
Sumeet Bagadia’s Stock Recommendations
Bagadia recommends focusing on the following stocks for potential gains:
1. Bharti Airtel
- Buy Price: ₹1,681.75
- Target Price: ₹1,780
- Stop Loss: ₹1,620
Bharti Airtel is currently trading at ₹1,681.75 and has shown a robust uptrend from support levels near ₹1,600. The stock is positioned above its short-term (20-day), medium-term (50-day), and long-term (200-day) Exponential Moving Averages (EMAs), indicating technical resilience. A breakout above the resistance level of ₹1,700 could propel it toward the target of ₹1,780.
2. DLF
- Buy Price: ₹870.85
- Target Price: ₹930
- Stop Loss: ₹840
DLF’s share price has recently reversed from lows and is currently trading at ₹870.85. The stock’s positive momentum is reinforced by its position above key EMA levels. A decisive move above recent resistance levels near ₹880 could signal continued bullish momentum, with a potential target of ₹930.
3. Kotak Mahindra Bank
- Buy Price: ₹1,805.65
- Target Price: ₹1,900
- Stop Loss: ₹1,740
Kotak Mahindra Bank is trading at ₹1,805.65 and has demonstrated strong performance in recent sessions. The stock’s consolidation within the range of ₹1,750 to ₹1,800 suggests a potential upward movement supported by a bullish candlestick pattern on daily charts. Investors are encouraged to maintain trailing stop losses near the significant support level of ₹1,740 as they aim for a target of ₹1,900.
Technical Indicators and Market Sentiment
The overall sentiment in the Indian stock market appears optimistic as technical indicators reflect positive momentum:
- The Relative Strength Index (RSI) for Bharti Airtel is at 63.85, indicating strong momentum.
- DLF’s RSI stands at 63, suggesting bullish trends.
- Kotak Mahindra Bank’s RSI is rising and currently at 59, reinforcing its upward trajectory.
Conclusion
With the Nifty 50 showing signs of resilience and breaking through critical resistance levels, Sumeet Bagadia’s recommendations present attractive buying opportunities for investors looking to capitalize on the current market dynamics. As always, investors should consider their risk tolerance and conduct thorough research before making investment decisions.
Disclaimer
The views and recommendations made above are those of individual analysts and not of any financial institution. Investors are advised to consult with certified experts before making any investment decisions to ensure that they align with their financial goals and risk profiles.
