Stocks to buy: Ankush Bajaj recommends three stocks for today—27 January
Subscribe to enjoy similar stories. The market opened flat on Friday, with bulls attempting to take control initially. However, bears regained their dominance in the second half, leading to a decline.
Nifty closed down 113 points at 23,092 (-0.50%), while Nifty Bank closed at 48,367, down 221 points (-0.46%). Major sell-offs were seen in media (-2.60%), realty (-2.31%), and oil & gas (-2.14%). All sectors closed in the red except FMCG (+0.52%) and IT (+0.40%).
Also read | BPCL: Weak refining weighs on Q3, spotlight on capex, debt ahead The top performers among Nifty50 stocks were HINDUNILVR (+2.00%), BRITANNIA (+1.77%), EICHERMOT (+1.76%) and GRASIM (+1.20%). The top losers were DRREDDY (-5.04%), TRENT (-4.24%) and M&M (-2.95%),ADANIENT(-2.93%), and BPCL (-2.70%) The overall trend suggests a bearish bias with the possibility of further declines unless the index finds support or enters a consolidation phase. Also read: UltraTech Cement on firm ground, but steep earnings upgrade unlikely FMCG stocks outperformed the market on Friday.
If we analyse the chart of Britannia, it has given a head & shoulders breakout on a smaller time frame. A good rally is expected with a low-risk stop loss. On a longer time frame, the stock is trading within a range despite a major sell-off in the broader market, which highlights its strength.
The stock has taken support from a major demand zone ( ₹5,752-5,712) and we can expect a pullback up to ₹5,820. If this level sustains, a further move of 80-100 points in the stock is anticipated. In the 15-minute time frame, the stock has given a head & shoulders breakout.
Additionally, as discussed, the FMCG sector is outperforming the broader market. One can consider making a long trade here. Also
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