Religare Broking's Ajit Mishra says buy these pharma, QSR and auto stocks

Nifty Today, Stocks to Buy Today: The Nifty50 index has now entered its second week of consolidation, and current indicators suggest that this trend is likely to persist

Stock Market View

  The markets began the calendar year on a positive note, gaining nearly half a percent. After an initial decline, buying interest in select heavyweight stocks across sectors quickly erased losses, gradually pushing the index higher. As a result, the Nifty reclaimed its long-term moving average, the 200 DEMA, and ended at 23,742.90. Most sectors contributed to this recovery, with auto and energy emerging as top performers. Similarly, the broader indices followed suit, recording gains ranging from 0.4 per cent to 1.05 per cent.

  The index has now entered its second week of consolidation, and current indicators suggest that this trend is likely to persist. We continue to advocate a stock-specific strategy, focusing on counters exhibiting relatively stronger momentum. Besides pharma and healthcare, selective opportunities are emerging in the FMCG and energy sectors, so traders should position themselves accordingly.

 

Stocks to Buy, Sell Today, January 2, 2025:

 

Biocon Limited |LTP: 368.80 | Buy | Target: 395 | Stop-loss: 354

  Biocon is gaining momentum, aligning with the positive trend in the pharma sector. The stock has shown a significant recovery from its trend line support, which aligns with its long-term moving average, the 200 EMA. Strong price and volume activity during this period suggests the potential for a rise toward the 395 level, marking its previous swing high. 

 

Jubilant Foodworks Limited |LTP: 739.20 | Buy | Target: 790 | Stop-loss: 715

  Jubilant Foodworks has been steadily recovering since reversing from its corrective phase in July 2024. The stock recently achieved a fresh breakout from a cup-and-handle pattern, a formation that typically signals a continuation of the prevailing trend. This breakout, accompanied by a surge in volumes, indicates sustained bullish momentum. Traders may consider accumulating the stock at the specified levels. 

 

Mahindra & Mahindra Limited | LTP: 3082.00 | Buy | Target: 3,270 | Stop-loss: 2,975

  M&M has emerged as a top performer in the auto sector, displaying noticeable strength while majority are in the corrective phase. And, it is nearing a breakout from a symmetrical triangle pattern, signaling potential of fresh up move ahead. We recommend initiating fresh long positions at the current levels.          ===============================  Disclaimer: Ajit Mishra is SVP-Research at Religare Broking Limited. Views expressed are his own. For further disclosures, visit: https://religareonline.com/disclaimer