Indian equity markets ended the previous session on a massive wavering and an atmosphere of got-trust investor fear. On the Deadlock day of December 30, the benchmark indices were totally lost since there was no strong domestic news and world markets sent out mixed signals.
The BSE Sensex fell slightly by 20 points to 84,675 while the NSE Nifty loitered just 3 points lower to close at 25,938. The large stocks showed the same weak performance as the leading stocks, as both midcap and smallcap indexes recorded small losses.
While the investors are readying themselves for the earnings season for the December quarter and monitoring the geopolitical developments closely, including the ongoing US–India trade talks, the market players are taking a selective stance.
In such circumstances, Raja Venkatraman, NeoTrader’s co-founder and SEBI-certified analyst, has singled out three stocks for trading on the day of December 31:
- Hindalco: The analyst’s perspective is quite optimistic about the metal major and therefore recommends purchasing the stock, attributing the decision to the presence of favorable technical indicators and upside momentum which is likely to unfold.
- UPL: The agrochemical stock is also on the list of stocks to buy, as the recommendation is coming from the improvement of chart patterns and the prediction of near-term strength.
- Godrej Properties: Venkatraman is recommending to sell this real estate stock, indicating technical weakness and the lack of upside potential at the present price level.
Given the anticipation that markets will oscillate within a tight range due to the influence of year-end positioning and the release of corporate earnings reports, market analysts advocate for disciplined trading, the implementation of stop-loss orders at strict limits, and concentration on stocks with strong fundamentals and technicals.
