Trading ideas: 6 stock recommendations for August 30, Monday

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The benchmark equity indices BSE Sensex and NSE Nifty are likely to make the optimistic start of the new week tracking global peers. Traders will be taking encouragement as a foreign direct investment (FDI) into the country rose by more than twofold to $17.57 billion during April-June this fiscal on account of measures such as policy reforms and ease of doing business. Some support will come as foreign portfolio investors (FPIs) pumped in a net of just Rs 986 crore in Indian equities during August, as cautiousness continued to persist among overseas investors. However, traders may be concerned as India recorded a spike of 43,381 new Covid-19 cases in the past 24 hours.

The country also witnessed 527 deaths, taking the death toll to 438,387. So far, India has recorded 32,737,569 corona cases in total. There may be some cautiousness as India’s foreign exchange reserves fell by $2.470 billion, during the week ended August 20.

VK Vijayakumar, chief investment strategist, Geojit Financial Services said, “Even though FPIs represent ‘smart money’ they are no longer market movers in India. At least for now, retail investors have emerged as market movers and DIIs also are playing a supportive role. We don’t know how long this retail exuberance will last. Present valuations do not offer any margin of safety. Perhaps this is the reason why FPIs have been consistent sellers in the cash market for many days now. At the same time, they don’t want to lose momentum in the market since India is, by far, the outperformer in emerging markets.”

Here are 6 money making ideas from technical analysts that may deliver good gains in the near term.

Recommendations by: Ajit Mishra, Religare Broking

Ambuja Cement | Buy | Stop loss: Rs 396 | Target price: Rs 425

Britannia | Buy | Stop loss: Rs 3,800 | Target price: Rs 4,100

HDFC AMC | Buy | Stop loss: Rs 2,920 | Target price: Rs 3,200

Recommendations by: Mazhar Mohammad, Chartview India

DCB Bank | Buy | Stop loss: Rs 82 | Target price: Rs 97

Graphite India | Buy | Stop loss: Rs 609 | Target price: Rs 694

Excel Industries | Buy | Stop loss: Rs 1057 | Target price: Rs 1,247

(Disclaimer: Stocks recommendations by experts or brokerages are their own and not those of the website or its management. Money9.com advises market participants to check with certified experts before taking any buy, sell or hold decisions.)