Stock Market Strategy for Next Week: Expert Recommendations for Monday
As investors gear up for the upcoming trading week, Sumeet Bagadia, Executive Director at Choice Broking, has shared valuable insights and recommendations for navigating the stock market landscape. According to Bagadia, the Nifty 50 index is currently at a critical juncture, with key support and resistance levels dictating market sentiment.
Bagadia emphasized that breaching below the crucial support level of 22,500 could signal a shift towards weaker market sentiments. Conversely, overcoming the resistance zone of 22,750 to 22,800 may pave the way for a potential 500-point upside in the Nifty 50 index.
For investors looking to make strategic moves on Monday, Bagadia recommended three stocks to consider – Bajaj Auto, Nestle India, and Divi’s Laboratories. Let’s delve into the expert analysis and recommendations for each of these stocks:
1. Bajaj Auto:
– Buy at ₹9074
– Target: ₹9900
– Stop Loss: ₹8400
Bajaj Auto’s current trading price of ₹9074.15 indicates a strong consolidation above the ₹9000 level, with robust trading volume supporting the upward momentum. Technical indicators such as the Relative Strength Index (RSI) and Stochastic RSI suggest a bullish trend, with potential target prices of ₹9600 and ₹9900 in the near term. Investors are advised to consider buying on dips around ₹8700 and implement a stop-loss at ₹8400 to manage risks effectively.
2. Nestle India:
– Buy at ₹2536
– Target: ₹2650
– Stop Loss: ₹2465
Nestle India’s share price at ₹2536.20 showcases resilience at support levels of ₹2465 to ₹2490, with a potential breakout above the resistance at ₹2570. Investors can capitalize on the stock’s strength by accumulating at the current market price and setting a stop-loss at ₹2465. The bullish outlook for Nestle India is supported by technical indicators, indicating a favorable environment for gains in the near term.
3. Divi’s Laboratories:
– Buy at ₹3780
– Target: ₹4000
– Stop Loss: ₹3700
Divi’s Lab share price at ₹3779.70 reflects strength at support levels of ₹3700, with positive momentum indicated by trading above key EMAs. The RSI at 64.27 signals an upward trend, aligning with the bullish sentiment for potential gains. Investors can consider buying at the current market price or accumulating at ₹3750 levels, with a target price set at ₹4000. Implementing a stop-loss at ₹3700 is crucial for risk management.
In conclusion, the expert recommendations for Bajaj Auto, Nestle India, and Divi’s Laboratories present compelling opportunities for investors to capitalize on potential market movements. By strategically managing risks and leveraging technical indicators, investors can position themselves for success in the upcoming trading week.
Disclaimer: The views and recommendations provided are those of individual analysts or broking companies. Investors are advised to consult certified experts before making investment decisions. Stay informed with the latest market updates and news by downloading The Mint News App.
