Market Trading Guide: ONGC Among 2 Stocks to Buy on Friday for Up to 16% Return

Nifty ended with deep cuts on Thursday as the US-Iran standoff continued, triggering a widespread sell-off. The benchmark indices ended their three-session winning streak, which was dragged by auto, financial services, IT and consumer stocks. The index fell below the 50DMA and the 21EMA in one fell swoop.Rupak De, Senior Technical Analyst at LKP Securities, said the 200-DMA is now positioned close and appears vulnerable. “Continued selling on Friday or Monday could lead to a breakdown below the 200DMA, which could reactivate the bearish trend. On the downside, support is placed at 25,330/25,000, while on the upside, resistance is seen at 25,650,” he added.

Here are 2 stock recommendations for Friday: Buy ONGC at Rs 275 | Benefit: 16%

Stop loss: 248

Goal: 295/320

ONGC is showing strong bullish momentum after making a decisive break above the key resistance zone near Rs 263, supported by rising volumes and improving RSI, which is now trending above the midline. The stock has also regained its short-term moving averages, indicating a strengthening trend structure on the weekly chart. This breakout suggests a possible continuation to higher levels. Buying can be considered on dips around Rs 265-Rs 270 or on sustained strength above Rs 278. A cautious stop-loss can be placed at Rs 248 below the recent support zone. Upside targets are Rs 295, followed by Rs 320, as long as the stock remains above the breakout level and maintains positive momentum.(Technical Research Analyst, Drumil Vithlani at Bonanza Portfolio)

Buy Biocon at Rs 383 | Benefit: 12%

Stop loss: Rs 365

Target: Rs 410/430

Biocon is showing signs of gradual recovery after forming a base near the Rs 360-Rs 370 support zone. The stock has regained its short-term moving averages and is trying to settle above the key resistance around Rs 385, indicating improving sentiment. The RSI is trending higher, indicating strengthening momentum on the daily chart. A sustained move above Rs 385 could lead to further upside. Buying can be considered on dips near Rs 375-Rs 380 or on a breakout above Rs 390, with a cautious stop-loss at Rs 365 below the recent support zone. Upside targets are Rs 410, followed by Rs 430, as long as the stock remains above key moving averages and maintains positive momentum.

(Technical Research Analyst, Drumil Vithlani at Bonanza Portfolio)

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