Market Trading Guide: EID Parry, Deepak Fertilizers among 5 stock recommendations for Thursday

Indian benchmark indices ended the day nearly flat with a slight negative bias on Tuesday. While gains in IT stocks provided some support, losses in heavyweight stocks like Reliance Industries and HDFC Bank weighed on the overall performance. The BSE Sensex dipped 33 points (0.04%) to close at 84,266, and the NSE Nifty slipped 14 points (0.05%) to settle at 25,797, reflecting cautious market sentiment amidst volatility.

“Nifty formed a doji pattern with a long upper shadow on the daily chart, indicating market indecision,” Rupak De, Senior Technical Analyst at LKP Securities said. Heavy call writing at 25,800 suggests it may act as strong resistance if sustained, he said. This analyst sees immediate support at 25,750 and opines that a decisive break below this could push the index to 25,600-25,500. On the higher side, a move above 25,800 may propel Nifty towards 26,050, where sellers could become active again, De added.

Here are 5 stock recommendations for Thursday:

Buy Chambal Fertilizers at Rs 547.50

Target Price: Rs 580

Stop Loss: Rs 531.50

On the daily time frame, Chambal Fertilizers & Chemicals has broken out of a symmetrical triangle, signaling a potential continuation of the uptrend. The stock closed at its all-time high, reflecting strong bullish sentiment, with the close near its record high indicating clear dominance by buyers. The above average volume supports this price action, suggesting heightened buyer interest at the current market price from a momentum perspective, the RSI is positioned in the higher range, reinforcing the positive outlook.(Drumil Vithlani, Technical Research Analyst, Bonanza Portfolio)

Buy EID Parry at Rs 869.5

Target Price: Rs 910

Stop Loss: Rs 847

EID Parry has exhibited bullish strength with a breakout from a rounding pattern, signaling accumulation at higher levels and a potential continuation of the uptrend. The decent volume supports this bullish price action. Furthermore, all major EMAs are trending upward, confirming the prevailing uptrend. The momentum indicator, RSI, is currently at 65.49, further reinforcing a positive outlook for the stock in near term.

(Drumil vithlani, Technical Research Analyst, Bonanza Portfolio)

Buy BBTC at Rs 2,884

Target Price: Rs 3,067

Stop Loss: Rs 2,584

The stock broke through a resistance zone of Rs 2,750-2,820 with a strong bullish green candle after consolidating for one month. The stock is experiencing good buying pressure and is heading toward its next target of Rs 3,067 as T1. There is a high chance that the stock may retest from the zone, with the next support at Rs 2,584. The stock has shown strong buying pressure and has crossed the 50MA in the volume chart for the past two days.

(Hariprasad Kizhakkethara,Director, Livelong Wealth)

Buy Deepak Fertilizers at Rs 1,109

Target Price: Rs 1,261

The stock has shown good momentum with a strong bullish green candle after a prolonged period of consolidation. The stock went up by 5% in a single day, gaining more than Rs 45.20 per share, and is currently up by more than 4.2%. The price is heading toward its target of Rs 1,261 as T1. The stock is experiencing good buying pressure and has crossed the 50MA in the volume chart.

(Hariprasad Kizhakkethara,Director, Livelong Wealth)

Buy BASF India at Rs 7,852

Target Price: Rs 9,072

Stop Loss: Rs 6,695

The stock has given a breakout with a strong bullish green candle on Tuesday, moving up more than 8% in a single day. Earlier, the stock had been moving sideways on the daily chart since July. Now, the price is heading toward its target of Rs 9,072 as T1 in the coming days, with strong support at Rs 6,695. The stock is experiencing good buying pressure and has crossed the 50-DMA in the volume chart.

(Hariprasad Kizhakkethara,Director, Livelong Wealth)

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(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)