Top Stock Recommendations: Nuvama's Sagar Doshi recommends L&T Finance, Prestige Estates, Lupine today

Domestic stock indexes succumbed to closing lows on Tuesday, ending the day lower. Benchmarks Nifty50 and Bank Nifty hit record highs on April 30th.

Sensex ended 188.50 points or 0.25% lower at 74,482.78 and Nifty 50 fell 38.55 points or 0.17% at 22,604.85.

Indian stock markets were closed on Wednesday, May 1st in observance of Maharashtra Day.

Read here: Stock market holiday 2024: Is the Indian stock market closed on May 1?

Nifty 50 outlook by Sagar Doshi

Nifty hit a new all-time high on the last trading day of April 2024, ending with an MTD gain of 1.24%. FII desk index futures saw massive short covering, reducing short positions by more than half from 99,000 contracts to 45,000 contracts.

The initial target of over 22,700 has been achieved and Nifty is likely to consolidate between 22,550 and 22,800 in this shortened week. A break below 22,550 could lead to further negative views on the index. Sagar Doshi, senior vice president of research at Nuvama Professional Client Group, said a range-bound view is likely to develop next week for now, but on the buying side, the broader market remains He said there is a high possibility that he will take the lead.

Also read: April Market Review: Nifty 50 surges for third consecutive month, rising 1.2%.Top performers in metal index

Bank Nifty Outlook

Bank Nifty fell nearly 750 points from its intraday high in the last hour of trading on Tuesday, erasing this week's outperformance against the Nifty. Yesterday's price action suggests that Bank Nifty's underperformance against Nifty is likely to continue in the next few trading sessions and drag the index towards 48,600 odd, Doshi said. he said.

The decline in futures premiums due to the launch of a new derivatives series also suggests that long positions in the index have cooled to some extent. Bank Nifty also met the Fibonacci extension target of 49,800 but faced rejection. All of this points to a downside next week's performance in the index, he added.

Also read: Stocks to buy and sell: Sumeet Bagadia recommends 5 breakout stocks for tomorrow

Top Stock Recommendations by Sagar Doshi

For top stock recommendations, Sagar Doshi recommends three stocks for tomorrow: L&T Finance, Prestige Estates Projects and Lupine.

L&T Finance | Purchase | Stop Loss: INR161.00 | Goal: INR179.00

L&T Finance stock witnessed a change in trend, breaking out from its active trend line since its all-time high in early 2023. Since then, every swing breakout has resulted in a profitable trade. L&T Finance stock has also outperformed in this sector. A swing breakout with rising volume indicates bullish momentum is gaining strength.

Prestige Estate Project | Purchase | Stop Loss: INR1,330 | Goal: INR1,475

Prestige Estate Projects shares hit a new high at the close. The momentum indicator is also above the previous swing high, indicating bullish momentum for the stock.

Lupine | Purchase | Stop Loss: INR1,587.00 | Goal: INR1,760

Lupine stock ended a month of consolidation as the price ended higher. INRThe number of deaths rose to 1,640 for the first time since mid-March. The positive crossover of momentum indicators confirms that this bullish swing is likely to continue further.

Disclaimer: The views and recommendations above are those of individual analysts or brokerages and not of Mint. We recommend checking with a certified professional before making any investment decisions.

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Published: May 1, 2024, 8:08 AM IST