Anand Rathi Expert Recommends Three Stocks for Day Trading

After experiencing a four-day losing streak, the Indian stock market bounced back strongly last week. The Nifty 50 index gained 151 points, the BSE Sensex rose by 599 points, and the Bank Nifty index surged by 504 points. However, the small-cap index witnessed a weekly loss of 1.73%, while the mid-cap index corrected over 3% for the week.

Anand Rathi’s Stock Recommendations:

Ganesh Dongre, Senior Manager — Technical Research at Anand Rathi, believes that the Nifty 50 index is currently facing resistance at the 22,500 to 22,600 zone. He suggests that the market bias may remain sideways until the Nifty 50 index stays within the range of 21,800 to 22,600. According to Dongre, sentiments on Dalal Street could turn bullish or bearish depending on the breakout of either side of this range. For day trading today, Ganesh Dongre recommends these three stocks to buy: Tata Consumer Products, Tata Motors, and Marico.

Stock Market Outlook:

Dongre suggests that the Nifty is currently on the support level of 21,800–21,900, which could keep the market movement sideways in the upcoming days. The resistance for the Nifty spot is expected to be at 22,500–22,600. He notes that the Nifty is currently in oversold territory. On the Bank Nifty front, there has been short covering, indicating support at the 47,100 to 47,200 level and resistance at the 48,000 level.

Stocks to Buy Today:

1. Tata Consumer Products: Buy at ₹1140, target ₹1180, stop loss ₹1110. The stock has shown strong support around ₹1110 and is now displaying a reversal price action formation at ₹1140. Traders can consider buying and holding this stock with a stop loss of ₹1110 for a target price of ₹1180.
2. Tata Motors: Buy at ₹963, target ₹995, stop loss ₹945. Tata Motors shares have exhibited a bullish reversal pattern in the short-term trend. With support at ₹945, the stock could bounce towards ₹995. Traders can go long with a stop loss of ₹945 for a target price of ₹995.
3. Marico: Buy at ₹505, target ₹525, stop loss ₹495. Marico has experienced a fresh breakout around ₹505. With a bullish candlestick pattern formation at this level, the stock may continue its rally towards ₹525. Traders can buy and hold this stock with a stop loss of ₹495 for a target price of ₹525 in the near term.