Stock Picks Alert: Sumeet Bagadia Advocates Five Breakout Stocks Including Cochin Shipyard and RVNL, May 24
Stocks Likely to Open Lower: The Sensex and Nifty 50, India’s primary benchmark indices, are poised for a negative start in Friday’s trading session, influenced by subdued global indicators.
The domestic market kickstarted with a sluggish momentum, with Gift Nifty trading approximately 42 points below the previous closing mark of 23,008.00, standing at 22,966.00. This cautious beginning follows a streak of record highs reached by the Nifty 50 and Sensex, buoyed by robust performances in banking shares and signs of a shrinking national budget deficit, exemplified by a substantial dividend payout from the central bank to the government.
Thursday witnessed the domestic equity indices scaling new heights, with the Nifty 50 breaching the 22,900 mark. The Nifty 50 concluded the day 369.85 points or 1.64{e576653dfa42e7ed55958086470380e0158fb4bb779b4a72dd274eee05b9584b} higher at 75,418.04, while the Sensex surged 1,196.98 points or 1.61{e576653dfa42e7ed55958086470380e0158fb4bb779b4a72dd274eee05b9584b}, reaching 22,967.65.
Sumeet Bagadia, a seasoned Executive Director at Choice Broking renowned for his astute market insights, has recommended five breakout stocks with promising potential: Cochin Shipyard Ltd, Saregama India Ltd, Rail Vikas Nigam Ltd, Olectra Greentech Ltd, and Mazagon Dock Shipbuilders Ltd.
Breakout Stocks Recommendations:
- Cochin Shipyard Ltd: Buy at ₹1,890.25, target ₹2,000, stop loss ₹1,825;
- Saregama India Ltd: Buy at ₹466.35, target ₹495, stop loss ₹450;
- Rail Vikas Nigam Ltd (RVNL): Buy at ₹372.25, target ₹399, stop loss ₹360;
- Olectra Greentech Ltd: Buy at ₹1,808.70, target ₹2,010, stop loss ₹1,710;
- Mazagon Dock Shipbuilders Ltd: Buy at ₹3,125.75, target ₹3,333, stop loss ₹3,020.
Nifty 50 Analysis: According to Soni Patnaik, Assistant Vice President of Equity Derivatives Research at JM Financial Services, the market has witnessed a notable rebound of 1,000 points from the 21,800 levels. Foreign Institutional Investors (FIIs) are adjusting their long:short ratio, which has risen from 26{e576653dfa42e7ed55958086470380e0158fb4bb779b4a72dd274eee05b9584b} long positions. Intraday fresh longs in Nifty futures have surged by 2.5{e576653dfa42e7ed55958086470380e0158fb4bb779b4a72dd274eee05b9584b}.
“Nifty 50 has successfully surpassed the crucial resistance levels of 22,800+, driven by weekly expiry today, and could potentially approach the 23,000 milestone by month-end expiry from current levels. There’s observable aggressive put options writing from the base of 22,500 PE to 22,800 PE, forming a robust support base around 22,600/22,700 levels,” remarked Patnaik.
