“Yes, so the last two to three sessions of the year are still to go and it looks like the market is in a holiday mood. Not much happening on the index front. Looking at the levels, 25,900 seems to be the immediate support for the Nifty. Two weeks ago we had a strong move against the 25,700 levels and that golden retracement around 25,900 seems to be the immediate support but on the higher side as long as we don’t cross 26,100 to 26,200 markets are likely to consolidate further, so buying on a dip and booking profits at higher levels is what we suggest to our clients,” Bhosale said.
The consolidation theme also extends to banking. Bank Nifty, which was largely flat till December, continues to stick to well-defined levels. “Similarly, if we see the 58,500 mark, Bank Nifty has acted as a strong support throughout December, so 58,500 seems to be the crucial support, but till we don’t see the 59,500 mark, Bank Nifty is also likely to consolidate further. So our preference is to focus on stock-specific and take a buy-on-dip approach on the index front,” he added.
While the major indices may offer little excitement, Bhosale believes opportunities still exist beneath the surface. The broader market remains subdued, he said, but the metals sector continues to stand out. “So when we talk about broader markets, not much is happening. But we can’t throw away the metal basket. They are consistently excelling and we expect this performance to continue,” he said.
Within metals, Tata Steel is a stock on his radar. “A counter from this market that we like is Tata Steel. Today we see a new flag pattern breakout and we expect Tata Steel to move towards its recent high levels. So Tata Steel can be bought with a stop loss of 169 and in the short term we expect targets of around 181,” said Bhosale.
Another stock that has caught his attention is HPCL, which is showing signs of strength despite the sideways trend in the broader market. “Another counter that looks positive in today’s session is HPCL, so this counter is in an uptrend with any dip towards 20 EMA being bought. On Friday, prices got support at 20 EMA and today we see prices moving above Friday’s high. So HPCL also looks good with a stop loss at 464. It can be bought, we expect targets around 489,” he said. As the year draws to a close, the message from the market seems clear: patience and selectivity are the key words. With indices likely to remain within a certain range, traders and investors may be able to achieve better results by focusing on stock-specific opportunities rather than broad moves during these final sessions of the year.
#Stock #Recommendations #Rajesh #Bhosale