Stock Picks: Sagar Doshi suggests Balkrishna Industries, Hindalco, M&M shares to buy today
Nevertheless, the ongoing uncertainty regarding the interim trade agreement between India and the US, ahead of President Donald Trump's August 1 deadline, restrained the advances in the Indian market.
The Nifty 50 increased by 0.22% to reach 25,122.75 points, while the Sensex climbed 0.30% to 82,430.50 as of 9:15 IST.
Japanese stocks spearheaded the rally in Asian markets on Wednesday following the announcement of the trade agreement. MSCI's widest index for Asia-Pacific stocks, excluding Japan, also rose by 0.7%.
Nifty 50 has entered a consolidation zone once again, though broader trend indicates upside from current levels, but absence of tailwinds are keeping the index in range. We continue with our view on a broad consolidation between 24,800 and 25,320 for the balance of this week, given the chart structure and positioning based on derivative data. On the options front as well, given tomorrow weekly expiry, highest call and put writing is seen at 25,200 and 24,800 respectively, furthering our stance on rangebound play for this week.
After reclaiming its resistance of 56,750 in Monday's session, the index is now eyeing for a break above 57,100 to allow momentum on the long side on Bank Nifty 50. Outperformance against Nifty 50 which has been the powering the underlying current on this index, a close above 57,100 is now essential for the outperformance to continue. On the flip side, closing below 56,200 could allow downward pressure on the index.
On stocks to buy on Wednesday, Sagar Doshi of Nuvama recommended three stocks - Balkrishna Industries Ltd, Hindalco Industries Ltd, and Mahindra & Mahindra Ltd (M&M).
Balkrishna Industries share price has given a cup and handle breakout on daily chart at the start of this week. This pattern has been in place from the start of this calendar year marking an end of its 6 month consolidation. Given the set up this suggests for a 10-12% upside from current levels.
Hindalco share price has given a 9 month trendline breakout same time last month, but the stock had been missing follow through, a retest and back to the breakout price has made way for a follow through to play out. Stock has also sustained above its 200 DMA for four consecutive weeks now, enabling for further upside on charts.
Breaking out from its 5 month consolidation, M&M share price had shown early signs of reclaiming its all-time high given the cup and handle breakout last month. A retest of the same neckline has also been complete furthering the stance for another 10-12% upside from CMP. M&M has also given highest ever closing yesterday on daily charts.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
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It reiterated that legal form does not override economic substance. Since it's a fundamental requirement that tax treaties need to be availed in good faith, these observations could further support the Revenue's case if it can prove that the parent was an active participant with significant control and supervision in the decision making on investments by the entity which recorded the capital gains." It isn't the first time the court held substance over form. But that it chose to give a subtle reminder in the Hyatt ruling is lending itself to interpretation.
