Stock market today: Trade setup for Nifty 50 to Q3 results today; 5 stocks to buy or sell on Thursday — 23 January 2025

Stock Market Today: The benchmark Nifty-50 index closed 0.57% higher at 23,155.35 after a volatile trading session on Wednesday. The S&P BSE Sensex also ended 0.75% higher at 76,404.99. Among sectors, while the Bank Index at 48,724.40 ended 0.32% higher, IT and pharma sectors were other gainers even though realty and energy remained among key losers. The broader markets, however, were in red as both midcap and small-cap indices shed nearly 1.5% each

Trade Setup for Thursday

For the benchmark Nifty 50 index,  23000 would act as a crucial support zone. Above this level, the pullback formation is likely to continue, and the market could bounce back to the range of 23250-23325, as per Shrikant Chouhan, Head of Equity Research, Kotak Securities. On the downside, below 23000, markets could fall to 22900-22880.

Bank Nifty index will find support near 48,000 and if the index holds the level, then a pullback rally towards 49,500-50,000 could be possible, said Hrishikesh Yedve, AVP Technical and Derivatives Research at Asit C. Mehta.

Global Markets to Q3 Results Today

On the stock-specific front, the ongoing earnings season presents opportunities on both sides of the trade, so traders are advised to align their positions accordingly. Additionally, it is prudent to exercise extra caution in the midcap and small- cap segments and avoid averaging into losing trades, said Ajit Mishra – SVP, Research, Religare Broking Ltd

Stocks to buy today

Sumeet Bagadia, Executive Director at Choice Broking, has recommended two stock picks for today. Ganesh Dongre, Senior Manager of Technical Research at Anand Rathi, suggested three stocks.

These include Paradeep Phosphates Ltd, Wipro Ltd, Dr. Reddy's Laboratories Ltd, Bharat forge Ltd and Sun Pharmaceutical Industries ltd 

Sumeet Bagadia's stock recommendations today

1. Paradeep Phosphates Ltd- Bagadia recommends buying Paradeep Phosphates at ₹126.4 keeping Stoploss at ₹122 for a target price of ₹ 135

Paradeep Phosphates is exhibiting strong bullish momentum, trading at an all-time high of 130.4. This breakout has been accompanied by a consolidation of the upward movement, characterized by higher highs and higher lows, supported by robust trading volumes, reinforcing the strength in the stock. The breakthrough suggests a potential continuation of the upward trend, offering an optimistic outlook for investors.

2. Wipro Ltd- Bagadia recommends buying Wipro at ₹309.1 keeping Stop Loss at ₹298 for a target price of ₹333

Wipro showcases a strong bullish momentum, evident from a notable uptrend from the support levels around 295, in close proximity to its 50 Day Exponential Moving Average (EMA). substantial upward movement and a significant closing around ₹309.1. The stock has been experiencing robust buying interest, leading to consecutive gains that could potentially lead to further upward movement after the recent surge, offering an optimistic outlook for investors

Ganesh Dongre's stocks to buy today

3.Dr. Reddy's Laboratories Ltd- Dongre recommends buying Dr. Reddy's Laboratories at ₹1295 keeping Stoploss at ₹1260 for a target price of ₹1360

In the recent short-term trend analysis of the stock, a notable bullish reversal pattern has emerged. This technical pattern suggests the possibility of a temporary retracement in the stock's price, potentially reaching around Rs.1360. At present, the stock is maintaining a crucial support level at Rs.1260 Given the current market price of Rs.1295, a buying opportunity is emerging. This suggests that investors might consider purchasing the stock at its current price, anticipating a rise towards the identified target of Rs.1360

4. Bharat Forge Ltd- Dongre recommends buying  Bharat forge at ₹1226 keeping Stoploss at ₹1200 for a target price of ₹1270

We have seen a major support in this stock around Rs. 1200 So, at the current juncture, the stock has again seen a reversal price action formation at the Rs. 1226 price level, which may continue its rally till its next resistance level of Rs. 1270 so traders can buy and hold this stock with a stop loss of Rs.1200 for the target price of Rs. 1270 in the upcoming weeks.

5. Sun Pharmaceutical Industries ltd- Dongre recommends buying Sun Pharmaceutical Industries at ₹1798 keeping Stoploss at ₹1760 for a target price of Rs1840

In the recent short-term trend analysis of the stock, a notable bullish reversal pattern has emerged. This technical pattern suggests that there could be a temporary retracement in the stock's price, possibly to around Rs.1840  Currently, the stock is holding a crucial support level at ₹1760.Given this scenario, there is potential for the stock to rebound towards the Rs. 1840 level in the near future. Traders are advised to consider taking a long position, with a strategic stop loss set at ₹1760 to manage risk effectively. The target price for this trade is Rs.1840.

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