Vinay Rajani of HDFC Sec picks 2 stocks to buy today, shares Nifty outlook

Nifty 50 today: Any level below 24,300 would confirm the bearish trend reversal for the short term, which could drag the Nifty towards an immediate support of 24,180, says Vinay Rajani

Nifty Today: The Nifty index fell for a second consecutive session on Tuesday, registering a sharp cut of 332 points or 1.35 per cent, to close at 24,336. Yesterday's fall has resulted in to a violation of 5, 10, 20 and 50 days EMA supports altogether. An upward sloping trend line adjoining the lows of November 21 and December 13, 2024, projects the support near 24,300.

  Any level below 24,300 would confirm the bearish trend reversal for the short term, which could drag the Nifty towards an immediate support of 24,180. Resistance for the index has shifted down to 24,500.

Stocks to Buy Today, Dec 18:

  Buy Ace (Rs 1,453) | Target: Rs 1,525 | Stop-loss: Rs 1,400

The stock has been forming 'higher tops and higher bottoms' on the daily chart. The stock price has been rising with the rise in volumes. It is placed above all important moving averages, indicating bullish trend on all time frames. Indicators and oscillators have turned bullish on the daily charts.

 

Buy DOMS (Rs 3,052) | Target: Rs 3,200 | Stop-loss: Rs 2,950

The stock price has broken out from last three week's price consolidation with jump in volumes. Primary trend of the stock has been bullish as it has been holding above key moving averages. Price breakout was accompanied by rise in volumes. Stock price has been forming higher tops and higher bottoms on the weekly charts.    ==================  Disclaimer: Vinay Rajani is CMT, senior technical and derivative analyst at HDFC securities. Views expressed are this own.