Stocks in Focus: Expert Recommendations for Jio Financial Services and Aditya Birla Capital

On Tuesday, India’s key stock indices, Nifty 50 and Sensex, stayed close to their all-time highs after reaching record levels on Monday. Investors are watching economic data closely to predict possible interest rate cuts in the US.

Sensex opened slightly lower at 82,513.7, and Nifty 50 held steady at 25,269.71. Notably, Nifty 50 has had 13 consecutive days of gains, hitting new records in the last session.

Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, believes the market might see a correction soon, as the Nifty 50’s winning streak may end. However, he doesn’t expect a major downturn.

Vijayakumar notes two current market trends: First, there is strong buying in high-quality stocks. Second, there’s a surge of activity in the SME IPO market, with some less credible companies seeing their stocks manipulated to higher prices after listing.

Market Review by Ruchit Jain:

Nifty 50 started the month on a positive note but stayed within a narrow range, closing just below 25,300. The index is showing a strong upward trend, led by some FMCG stocks. While the market is generally positive, there are signs of profit-taking in certain stocks.

Foreign Institutional Investors (FIIs) have moved their long positions in index futures from August to September, indicating a positive trend. The RSI (Relative Strength Index) shows ongoing positive momentum, but the market may see some consolidation due to short-term overbought conditions. Traders are advised to use any dips as buying opportunities. Nifty 50 is expected to find support around 25,110 and 24,920, with potential for a rally towards 25,400-25,500.

Stocks to Watch Today – Ruchit Jain’s Picks:

Jio Financial Services Ltd:

Ruchit Jain recommends buying Jio Financial Services. The stock has broken out from a resistance trendline and crossed important moving averages. With strong volume and positive RSI momentum, it is suggested to buy within the ₹345-340 range for target prices of ₹365 and ₹378. Stop loss should be set below ₹326.

Aditya Birla Capital Ltd:

After a correction phase, Aditya Birla Capital has formed a support base around ₹200 and shows signs of an uptrend. With a positive RSI crossover on the daily chart, short-term traders should look for buying opportunities within the ₹225-220 range. The target prices are ₹240 and ₹252, with a stop loss set below ₹211.