Chandan Taparia Recommends Buying Three Stocks: MAX Healthcare, City Union Bank, and BEL. Learn about their target prices and stop losses.
Stocks to Buy: Amidst market volatility, investors can find lucrative opportunities. Chandan Taparia, an expert at Motilal Oswal Financial Services, has identified three stocks recommended for purchase today. These stocks show technical breakouts and b support levels, indicating potential for significant gains.
This report will cover the latest Nifty and Bank Nifty trends, along with target prices (TP), stop losses (SL), and investment strategies for the top 3 stocks for May 14th.
Nifty Trend Remains Positive, but Stay Alert
On Tuesday, the Nifty Index opened with a slight decline. Volatility persisted during the first hour, but in the afternoon, Nifty tested the 24,700 support level multiple times. However, after slipping below this level, signs of profit-booking emerged.
Chandan Taparia believes that breaking the support level could slow down the market's momentum in the short term. However, the long-term trend for Nifty remains positive. He stated that if Nifty sustains above 24,750, the market could see a renewed rally, potentially reaching 25,000 to 25,200. On the downside, Nifty will find support at 24,500 and 24,350.
What Does Options Data Say?
Based on options data, Chandan Taparia indicated that the highest Call Open Interest (OI) is at the 25,000 level, while the highest Put OI is at 24,000. This suggests that the market's broad trading range could be between 24,100 and 25,100. In the short term, Nifty might remain within the 24,400 to 24,800 range.
Bank Nifty Also Shows Volatility; 55,000 is a Crucial Level
Bank Nifty also had a weak start on Tuesday, showing a 500-point swing in the first hour. It fluctuated between 55,000 and 55,500 throughout the day, but ultimately closed near 54,900. Chandan Taparia says that for Bank Nifty to rally again, it needs to close above 55,000, which could lead to gains reaching 55,555 and 55,750. Strong support will be seen at 54,750 and 54,500 on the downside.
Top 3 Stocks to Buy on May 14th
Now, let's discuss the three promising stocks with potential buying opportunities today:
1. MAX Healthcare (CMP: ₹1,172)
Target Price (TP): ₹1,249
Stop Loss (SL): ₹1,130
MAX Healthcare has broken out of the Falling Supply Trend Line on the daily chart and closed above it. Its RSI indicator is positive, suggesting further upside. The technical structure is b, hence the buy recommendation.
2. City Union Bank (CMP: ₹190.74)
Target Price (TP): ₹200
Stop Loss (SL): ₹185
City Union Bank stock has experienced a Flag Pattern breakout on the daily chart. Furthermore, volume strength supports this breakout. Considering the bullish potential, a buy recommendation is given.
3. Bharat Electronics Limited (BEL) (CMP: ₹335)
Target Price (TP): ₹350
Stop Loss (SL): ₹328
BEL stock has shown a b Trendline Breakout and is now trading near its upper levels. Its ADX indicator confirms the bullish trend, suggesting further upside potential.
Market Decline on Tuesday
It's noteworthy that the stock market experienced a significant decline on Tuesday. The Sensex fell by approximately 1281 points, closing at 81,148.22. Similarly, Nifty closed at 24,578.35, down 346 points. However, due to the positive long-term market trend, experts still recommend investing in good stocks.
