Stock market today: Trade setup for Nifty 50 to US dollar, five stocks to buy or sell on Tuesday — Nov 19

Stock Market Today: The domestic stock market indices closed lower on Monday, extending its losing streak. The domestic indices closed in the red for the seventh consecutive session as the Q2 earnings season comes to an end. The Nifty 50 index closed 0.34 per cent lower after Monday’s session at 23,453.80 points, compared to 23,532.70 points at the previous market close.

The BSE Sensex index closed 0.31 per cent lower at 77,339.01 points, compared to 77,580.31 points in the previous trading session.

“With Q2 earning season coming to a close and FII selling continuing, we expect Nifty to consolidate within a broad range due to the absence of any positive trigger,” said Siddhartha Khemka, Head – Research, Wealth Management, Motilal Oswal. 

Trade Setup for Tuesday

On the outlook for the Nifty 50 and the Bank Nifty index, Hrishikesh Yedve, AVP Technical and Derivatives Research at Asit C Mehta said, “Nifty opened on a positive tone, but continuous selling pressure dampened sentiments, and index settled the day on a negative note at 23,454 levels. India VIX’s volatility index surged by 2.65% to 15.17, indicating a rise in market volatility.”

“Technically, the index on a daily scale has formed a red candle, indicating weakness. Furthermore, the index has decisively broken its 200-Days exponential moving average (DEMA) support level of roughly 23,540. Thus, 23,540-23,550 will be an immediate barrier for the index. On the downside, the 50-weekly Simple moving average (WSMA) is placed near 23,300 levels, serving as short-term support for the index. Overall, the short-term trend is down, but we expect theindex to consolidate in the narrow band of 23,300-23,600,” said the stock market expert.

“The Bank Nifty opened positively, maintained bullish momentum despite volatility, and concluded the day positively at 50,364 levels. Technically, the index on a daily scale has formed a small green candle and successfully defended the 200-Days exponential moving average (DEMA), indicating strength. The 200-DEMA support is placed near 49,910. If the index respects 49,900, it could see a pullback towards 50,500-50,600 levels, where the short-term trendline resistance is placed. If the index is above 50,600 levels, the relief rally could extend to 51,000 levels. Overall, the short-term trend is down, but as long as the Bank Nifty holds above 49,900, a pullback rally could be possible,” said Yedve. 

US Dollar

The US dollar, which is measured as the currency against a basket of six other currencies, was down 0.23 per cent to 106.48, trading just under its 52-week high of 107.07. The dollar strengthened 0.36 per cent against the Japanese Yen to 154.9 on Monday.

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, has suggested three stock ideas.

These include Aegis Logistics, Syrma SGS Technology, State Bank of India, Jindal Steel and Power, and Ramkrishna Forgings. 

Sumeet Bagadia’s stocks to buy today

1. Aegis Logistics Ltd. (AEGISLOG): Buy at ₹842.9; Target price at ₹899; Stop loss at ₹810.

AEGISLOG is currently trading at 842.9, showing a strong uptrend after breaking through a key resistance level around 830, which signals bullish momentum. A prominent cup-and-handle breakout pattern has formed, highlighting renewed buying interest. The stock recently consolidated, bouncing back from the robust support of its 100-day EMA. If it continues to move past current levels, it could reach a short-term target of 899.

The RSI (Relative Strength Index) stands at 66.06, trending upward, indicating increasing buying momentum. To manage risk effectively, a stop-loss at 810 is recommended to protect against any unexpected market reversals.

In conclusion, based on the technical setup and prevailing market conditions, AEGISLOG presents a favorable buying opportunity with a potential target of 899, contingent upon proper risk management strategies.

2. Syrma SGS Technology Ltd. (SYRMA): Buy at ₹560.1; Target price at ₹590; Stop loss at ₹540.

SYRMA is currently positioned at 560.1 levels, has shown robust upward momentum. The stock’s recent breakout was supported by significant trading volume, indicating strong investor interest. The chart reveals a steady climb, with the 20-day EMA trending upward and converging towards the 50-day and 100-day EMAs. This alignment of moving averages suggests a continuation of the bullish trend if supported by further buying pressure., affirming its inherent strength.

While facing a minor resistance at 566 levels, a breakout beyond this threshold could pave the way for further upward momentum. Sustaining levels above 566 may propel the stock towards the next target at 590 levels, presenting a promising outlook for investors.

Reinforcing the positive sentiment, the Relative Strength Index (RSI) comfortably rests at 70.9 levels, indicating a favourable balance between buying and selling pressures. The technical parameters collectively suggest a constructive environment for SYRMA, encouraging potential bullish movements in the near term. Investors may find opportunities in this upward trajectory, particularly on confirmation of a sustained breakthrough above the resistance level.

Based on the above technical analysis we recommend buying SYRMA at CMP of 560.1 for a medium term outlook with a stop loss of 540 for targets of 590. 

Ganesh Dongre’s stocks to buy today 

3. State Bank of India Ltd. (SBIN): Buy at ₹815; Target price at ₹835; Stop loss at ₹800.

The stock having a substantial support at ₹800, marking a crucial juncture in its recent trading. Presently, at ₹815, the stock has demonstrated a definitive reversal in price action, suggesting a potential continuation of its upward momentum. Traders keen on seizing this opportunity could consider buying and holding the stock, setting a prudent stop loss at ₹800. The anticipated target for this trade is ₹835, representing the next significant resistance level. This strategy positions traders favorably to capitalize on the stock’s anticipated rally in the weeks ahead.

4. Jindal Steel and Power Ltd. (JINDALSTEL): Buy at ₹887; Target price at ₹910; Stop loss at ₹870.

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 ₹910. At present, the stock is maintaining a crucial support level at ₹870. Given the current market price of ₹887 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 ₹910.

5. Ramkrishna Forgings Ltd. (RKFORGE): Buy at ₹940; Target price at ₹970; Stop loss at ₹920.

On the daily chart of this stock, a breakout at the ₹340 price level has been observed, signaling a potential upward trend. Complementing this breakout, the Relative Strength Index (RSI) is still turning up, indicating increasing buying momentum. Given these technical indicators, traders can consider buying on dips, entering the stock at a lower price point. To manage risk, a stop loss at ₹920 is recommended. The target price for this strategy is ₹970 in the upcoming weeks, suggesting a potential gain as the stock continues its upwardtrajectory.

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.