HDFC Securities recommends Nifty outlook and two stocks to buy today

Vinay Rajani of HDFC Securities has recommended buying shares of TD Power and Torrent Power; here's why

Nifty view

Despite this broad-market selling, the primary trend for the Nifty remains technically Up, as it successfully held above its 20-Day and 50-Day Exponential Moving Averages (DEMA). Immediate support is now seen in the band of 25,000–25,050, while 25,310 and 25,400 will act as key overhead resistance. Both the Nifty Midcap 100 and Smallcap 100 indices closed on a distinctly weak note, ending the day by forming a bearish candlestick pattern on the daily charts.  ALSO READ | 3 stocks to buy today by Chandan Taparia of Motilal Oswal

Stocks to buy by Vinay Rajani of HDFC Securities 

Buy TD Power, CMP: ₹598 | Target: ₹635 | Stop-loss: ₹570

After a healthy running correction, the TD Power stock has formed a “Doji” candlestick pattern on the daily chart. The primary trend of the stock has been bullish, as it is placed above all key moving averages.

 

Buy Torrent Power, CMP: ₹1,290: | Target: ₹1,360 | Stop-loss: ₹1,250

Torrent Power stock price surpassed the crucial resistance of 50 DEMA and has been sustaining above it. Oscillators have exited the oversold zone on the short-term charts.

 

(Disclaimer: This article is by Vinay Rajani, CMT, senior technical and derivative analyst, HDFC Securities. Views expressed are his own.)