Trade Call: Chandan Taparia of Motilal Oswal Recommends 3 Stocks To Buy/Sell On Thursday, 14th March

Mixed bag opening in the Asian markets, a modest decline in US market and surging oil price to above $84/bbl, may open domestic bourses on a weak note on Thursday.

Yesterday, the US market declined up to 0.5% on account of profit booking in the tech stocks. Moreover, investors are now awaiting the release of wholesale inflation and retail sales data to be released today.

Gift Nifty declined by nearly 0.5%. Expects weakness in the domestic market may continue and further profit booking in the mid-cap and small-cap stocks may not be ruled out on account of a rally in the last few months. Traders avoid aggressive buying interest till a clear trend emerges, said Chandan Taparia, CMT, CFTe Derivatives & Technical Analyst at Motilal Oswal.

Nifty Outlook

Nifty immediate support at 21850 then 21750 zones while resistance at 22100 then 22222 zones. Now till it holds below 22100 zones, some more profit booking could be seen towards 21850 and 21750 zones while on the upside hurdle is seen at 22100 and 22222 zones, said the analyst.

Bank Nifty Outlook

Bank Nifty support is at 46666 then 46500 zones while resistance is at 47250 then 47500 zones. Now till it holds below 47250 zones weakness could be seen towards 46666 then 46500 levels while on the upside hurdle is seen at 47250 then 47500 zones, stated Chandan Taparia.

Stocks To Buy Today

Chandan Taparia, CMT, CFTe Derivatives & Technical Analyst at Motilal Oswal has recommended 3 stocks to buy or sell on Thursday, 14th March.

ICICI Bank

Buy at CMP: Rs 1083, stop-loss: Rs 1060, target: Rs 1125, duration: 2 – 3 days

ICICI bank has retested the previous breakout zone on weekly scale and inching higher. On daily scale the stock is consolidating at higher zones and holding its 20 DEMA. We have seen relative outperformance within Private banks and stock is likely to scale new record highs in coming sessions. Momentum indicator Relative Strength Index (RSI) is also holding at higher zones which indicates overall strength in the stock.

Reliance Industries

Buy at CMP: Rs 2864, target: Rs 3210, duration: 1 year

Reliance to buy Paramount’s 13% stake in Viacom18 for Rs4,286 crore. This transaction is subject to the completion of Reliance’s previously announced merger with Walt Disney for their India TV and streaming media assets. Reliance Retail is expected to clock a CAGR of 24%/29% in revenue/EBITDA over FY24-26, led by accelerated store additions across segments, recovery in-store productivity, and an aggressive foray into digital and new commerce. We maintain our BUY rating on RIL, highlighting consistent strength in refining margins and ongoing improvements in petchem spreads for the O2C business.

Hindalco

Buy at CMP: Rs 507, target: Rs 600, 18% upside, duration: 1 year

Copperspikes to 11-month high as Chinese smelters weigh output cuts. The company is undertaking ~$6b multi locational-multi product growth capex over the next five years, to augment its capacity across various regions. Hindalco has robust integrated operations and despite base metal prices remaining range-bound, we believe the long-term outlook remains positive. We reiterate our BUY rating on the stock, said Chandan Taparia.

Trade Call: 2 Technical Stock Picks By Sumeet Bagadia On Thursday, 14th March