Shares to buy or sell: Rajesh Palviya of Axis Securities suggests these three stocks to buy, hold, and accumulate today

Stock Market News: The domestic benchmark indices, Sensex and Nifty 50, experienced a downward trend on Friday, influenced by weak global cues and cautious investor sentiment ahead of the expected Federal Reserve interest rate cut.

The Nifty 50 index opened at 24,498.35 points, reflecting a modest decline of 50.35 points, or 0.21%. Similarly, the Sensex index opened at 81,212.45 points, down by 77.51 points, or 0.10%.

Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, mentioned that the market currently faces both challenges and opportunities. The challenge comes from the renewed selling by Foreign Institutional Investors (FIIs), who divested stocks worth ₹3560 crores yesterday. Due to the elevated valuations in India, it is likely that FIIs will continue to sell during any market upswings. This selling has been beneficial for FIIs, particularly as the dollar has been gaining value following the recent US election. On the other hand, the declining inflation serves as a potential support for the market.

Share Market Tips and Nifty 50 Outlook by Rajesh Palviya, SVP - Technical and Derivatives Research, Axis Securities

The benchmark index has surpassed the three-month down-sloping trendline resistance at 23,950 and is sustaining above it, along with the 200 SMA at 23,770. However, the index is trading below the 50% Fibonacci retracement level of the decline from 26,277 to the recent low of 23,363, at 24,765. A decisive breakout and sustained move above this level are critical for continued upward momentum. From the current levels, overhead resistance is seen at 24,800-25,000, while the crucial support zone is positioned at 24,300-24,000.

Vedanta Ltd (CMP: 521)

Vedanta has consistently held above the horizontal support zone near 405 since mid-May 2024, rebounding sharply and signaling a continuation of the uptrend. The stock has also broken above the downward-sloping channel from the recent high of 454, indicating a positive bias. The daily RSI strength indicator shows a crossover above its reference line, generating a buy signal.

Investors should buy, hold, and accumulate this stock with an expected upside of 585-600 and a downside support zone of 488-450.

Borosil Renewables Ltd (CMP: 593)

On the weekly chart, the stock has broken above the falling channel at 510, surpassing the recent high of 571 with a strong bullish candle, signaling a positive bias. The increase in volume further indicates strong market participation. Additionally, the stock holds above key short- and medium-term moving averages (20-, 50-, 100-, and 200-day SMAs), reinforcing the bullish outlook.

Investors should buy, hold, and accumulate this stock with an expected upside of 681-700 and a downside support zone of 549-530.

HDFC Asset Management Company Ltd (CMP: 4,552)

Over the past couple of months, the stock has consistently held above the 50% Fibonacci retracement level of the rally from 3,416 to 4,864, placed at 4140, and has bounced back. It closed above the daily upper Bollinger Band, signaling an uptrend. Additionally, the daily RSI is holding above its reference line, further indicating a positive bias.

Investors should buy, hold, and accumulate this stock with an expected upside of 5,000-5,200 and a downside support zone of 4,350- 4,300.

Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decision.