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Stock market recommendations: According to Bajaj Broking Research, Camlin Fine Sciences and Equinox India Developments are the top stock picks for today. Here’s their view on Nifty, Bank Nifty and the top stock picks for February 7, 2025:
Index View: Nifty
The Nifty traded in a range with corrective bias in the last two sessions after 1000 points up move in previous seven sessions highlighting consolidation ahead of the RBI Monetary policy outcome.
Going ahead, we expect index to trade with a positive bias while sustaining above the support area of 23,400-23,200 and gradually head towards 24,000-24,200 levels in the coming weeks which is the 38.2% retracement of the previous fall (26277-22786) and upper band of the falling channel containing entire decline of the last four months.
Key support is placed at 23,200-23,400 levels being the confluence of the last week low, last Tuesday gap up area and past three weeks breakout area. Stock specific action will continue to remain in focus as we sail through the fag end of the Q3FY25 earnings seasons.
Volatility is anticipated to remain elevated due to fluctuating global cues, the RBI monetary policy outcome, and the results of the upcoming Delhi elections.
On the market breadth front, the percentage of stocks above the 50-day SMA within the Nifty 500 universe has increased from a bearish extreme of 9% last week to 23%. Additionally, the weekly stochastic oscillator has bounced back from the oversold territory and has generated a buy signal, further supporting the positive bias.
Nifty Bank
Bank Nifty in the last two sessions consolidated in a range after rallying 2500 points in the preceding 9 sessions. The index in the process closed above the last three weeks range indicating revival in the upward momentum.
We believe 48,900-49,200 to act as immediate support and any dip witnessed hereon should be capitalized as a buying opportunity in quality stock in a staggered manner. We expect the index to head towards 51,200-51,500 levels in the coming sessions being the measuring implication of the last three weeks range breakout and the 50% retracement of the previous decline (53,888-47,844).
Volatility is likely to remain elevated on account of RBI monetary policy outcome on Friday. Key support is seen at 48,900-49,200 being the confluence of current week low and 61.8% retracement of the recent up move.
Stock Recommendations:
Camlin Fine Sciences
Buy in the range of Rs 137-140
The stock is seen breaking above the last five weeks range (140-120) as it is seen rebounding after a base above the 200 days EMA thus offers fresh entry opportunity.
The daily RSI is in uptrend thus supports the positive bias. The stock is expected to head higher towards 157 levels in the coming months being the measuring implication of the last five weeks range breakout (140-120).
Equinox India Developments
Buy in the range of Rs 150-154
The share price of Equinox India Developments is at the cusp of breakout above the falling supply line joining the highs of CY21 and CY24 thus offers entry opportunity
The stock has formed a good base around the 50 day EMA and is forming higher highs and higher lows in the weekly chart. We expect the stock to head higher towards 169 levels in the coming months being the 123.6% external retracement of the previous breather (164-106)
Disclaimer: The opinions, analyses and recommendations expressed herein are those of brokerage and do not reflect the views of The Times of India. Always consult with a qualified investment advisor or financial planner before making any investment decisions.
