Breakout stocks to buy or sell: Sumeet Bagadia recommends five shares to buy today

Breakout stocks to buy or sell: Following a rally in the US stock market and other bourses of the global markets, the Indian stock market ended higher on Tuesday. The Nifty 50 index gained 181 points and closed at the 24,457 mark, above the crucial resistance placed at the 24,400 mark. The BSE Sensex finished 587 points higher at 80,835, while the Nifty Bank index ended 611 points higher at 52,720. Cash market volumes on the NSE rose 16% to ₹1.15 lakh crore. The broad market indices rose more than the Nifty 50 index even as the advance-decline ratio rose to 2.8:1.

Sumeet Bagadia's breakout stock recommendations

Sumeet Bagadia, Executive Director at Choice Broking, believes the Indian stock market bias has improved as the Nifty 50 index has finally broken the 24,350 to 24,400 range barrier. The Choice Broking expert said the 50-stock index is heading towards 24,800 and may regain the 25,000 mark if the frontline index breaks above 24,800 decisively. He noted that a stock-specific strategy can be continued, and one can bet on the breakout stocks for intraday trading.

Speaking on the outlook of the Indian stock market today, Sumeet Bagadia said, "The Nifty 50 index finally broke the hurdle placed in the 24,350 to 24,400 range on a closing basis. This has improved the Indian stock market bias, and now Nifty is looking to touch the 24,800 mark soon. We expect the frontline index to hit the 25,200 mark soon after breaching this hurdle. Those who want to maximise one's return in this positive trend can continue following stock-specific strategy and look at breakout stocks for intraday trading."

Regarding breakout stocks to buy today, Sumeet Bagadia recommended buying these five shares: GHCL Textiles, Sutlej Textiles, Monte Carlo Fashions, Hindustan Construction Company, and Kiri Industries.

Stocks to buy today

1] GHCL Textiles: Buy at ₹106.60, target ₹114, stop loss ₹102;

2] Sutlej Textiles: Buy at ₹67.70, target ₹72, stop loss ₹65;

3] Monte Carlo Fashions: Buy at ₹920.40, target ₹990, stop loss ₹890;

4] Hindustan Construction Company or HCC: Buy at ₹45.81, target ₹49, stop loss ₹44; and

5] Kiri Industries: Buy at ₹617.45, target ₹660, stop loss ₹595.

Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before making any investment decisions.