Stocks to buy on 18 March: The domestic benchmark indices, Nifty 50 and Sensex, continued their upward trend on Tuesday, March 17 supported by gains in the metals sector and a recovery in automobile stocks following a recent downturn, although concerns regarding elevated crude oil prices limited further increases.
The Nifty 50 advanced by 0.74% to reach 23,581.15, while the BSE Sensex increased by 0.75% to 76,070.84.
The stock markets have risen by 1.9% and 2% over the past two sessions this week after confirming a technical correction last week.
The US-Israeli conflict involving Iran has entered its third week. Brent crude prices have stabilized around $103 per barrel, with the Strait of Hormuz largely closed and US allies declining to deploy warships to assist tankers through this crucial passage that transports approximately 20% of global oil supplies.
What Gift Nifty live chart signals?
The Gift Nifty Live Chart is showing a positive start for the Indian stock market today. By 7:40 AM, the Gift Nifty was trading around 23,653 level, a premium of 35.6 points from the Nifty futures’ previous close of 23,617.40.
Decoding the impact of Gift Nifty live chart and other triggers on Dalal Street, Hariprasad K, SEBI-registered Research Analyst and Founder, Livelong Wealth said that Indian equities are expected to open on a flat note, with early signals from Gift Nifty around 23,625 indicating a lack of strong directional momentum. The muted start reflects a balance between supportive global cues and persistent macro uncertainties.
Hariprasad explained that Crude oil prices remain elevated amid ongoing geopolitical tensions in the Middle East, which continues to disrupt energy markets. For India, sustained strength in oil remains a critical concern, given its implications for inflation, currency stability and corporate margins.
The rupee continues to face pressure due to a combination of rising crude prices, persistent foreign institutional outflows and a resilient US dollar. Uncertainty around global interest rates and geopolitical developments is keeping the dollar supported, limiting upside for emerging market currencies and adding to market caution, added Hariprasad.
Institutional flows continue to reflect a mixed undertone, noted Hariprasad. Further he added that FIIs remain net sellers in the cash market, while DIIs are providing support on dips. Derivatives positioning, as indicated by open interest, signals indecisiveness among participants, reinforcing the sell-on-rise undertone.
The near-term outlook suggests a range-bound market with a cautious bias, where global cues, crude oil movements and currency trends will remain the key drivers. A decisive breakout above resistance or clarity on global macro triggers will be essential for a sustained directional move, according to Hariprasad.
Stocks to buy today
Regarding stocks to buy today — Raja Venkatraman is Co-founder of NeoTrader and stock research platform MarketSmith India, recommended buying these five shares: Federal Bank, Aurobindo Pharma, Vardhman Textiles, Tata Power, and Data Patterns (India).
Three stocks to trade, recommended by NeoTrader’s Raja Venkatraman
Best stocks to buy today (all buy trades are rates of equity and sell rates are based on F&O)
Federal Bank Ltd: Buy above ₹266 | stop ₹250 | Target ₹289 (multiday)
Federal Bank (Cmp ₹264.55)
Why it’s recommended: Federal Bank Ltd is a leading Indian private-sector bank offering comprehensive retail, corporate, and NRI banking services. The sharp profit booking that began the month has led to a fresh buying emerging at lower levels. The banking sector is now witnessing fresh demand amid continued attention to companies that have corrected sharply. In the current year, the stock has seen a sharp upside, and the steady support offered by the KS line has ensured that the momentum is retained. We can consider that the trends are poised to move higher. Go long.
Technical analysis: Support at ₹175 | Resistance at ₹225.
Risk factors: Intense competition leading to margin pressure, asset quality concerns in specific portfolios, and regulatory changes.
Target price: ₹289. (Two months)
Aurobindo Pharma Ltd: Buy above ₹1,298 | stop ₹1,245 | Target ₹1,410 (multiday)
Aurobindo Pharma (Cmp ₹1,286)
Why it’s recommended: Aurobindo Pharma Ltd is a leading Indian multinational pharmaceutical company that manufactures and sells generic drugs, Active Pharmaceutical Ingredients (APIs), and formulations across therapeutic areas. After the sharp decline due to profit-taking, the stock is showing resolve to move higher after dipping into the strong support zone of the cloud region. Now, we need to plan, as the last few weeks have been a matter of survival, but the negative news flow is showing signs of taking a break. With PSU banking counters entering the buy mode once again, we can look for a rebound from the current lower levels. Go long now.
52-week high: ₹1,319.60
Technical analysis: Support at ₹1,250 | Resistance at ₹1,480.
Risk factors: Regulatory hurdles, market competition, and legal challenges.
Target price: ₹1,410 (Two months)
Vardhman Textiles Ltd: Buy above ₹555 | stop ₹525 | Target ₹610 (multiday)
VTL (Cmp ₹553.85)
Why it’s recommended: Vardhman Textiles Ltd, founded in 1965 and headquartered in Ludhiana, Punjab, is India’s largest vertically integrated textile manufacturer producing yarn, fabric, sewing threads, and garments. Despite strong profit-taking across multiple counters, this counter attracts steady buying interest and continues to move higher. With mid-cap stocks showing some resilience, we can look for further upside as a strong thrust above consolidation was seen yesterday. With the overall manufacturing sector showing promise across India, one should consider buying for a multiday play.
Technical analysis: Support at ₹520 | Resistance at ₹625.
Risk factors: Raw material price volatility, regulatory challenges, and economic cycles.
Target price: ₹610. (Two months)
Two stock recommendations by MarketSmith India
Buy: Tata Power Co. Ltd (current price: ₹400)
Why it’s recommended: Strong presence in power generation, transmission & distribution, aggressive renewable energy expansion, backing of Tata Group (strong governance), growing EV charging infrastructure, improving financial performance & debt reduction, diversified business segments, and beneficiary of India’s rising power demand.
Key metrics: P/E: 28.03, 52-week high: ₹416.80, volume: ₹₹482.44 crore
Technical analysis: Double-bottom breakout
Risk factors: High capital expenditure requirements, regulatory & tariff-related risks, debt levels still relatively elevated, execution risk in renewable projects, exposure to coal-based power business, competition in renewable & distribution space, and dependency on government policies.
Target price: ₹440 in two to three months
Buy: Data Patterns (India) Ltd (current price: ₹3,300)
Why it’s recommended: Strong position in defense & aerospace electronics, high-margin business with strong profitability, healthy order book & revenue visibility, strong relationships with DRDO, HAL, BEL, ISRO, beneficiary of “Make in India” defense push, IP-driven business model (indigenous tech), low leverage & strong liquidity, and increasing defense spending tailwind
Key metrics: P/E:69.53, 52-week high: ₹3,609.50, volume: ₹₹680.66 crore
Technical analysis: Reclaimed its 21-DMA
Risk factors: Heavy dependence on government/defense orders, long project cycles & delayed cash flows, high working capital requirements, execution risk in complex defense projects, regulatory & procedural delays in the defense sector, supply chain/geopolitical risks (components), high valuation (premium PE multiples), and customer concentration risk (PSUs)
Target price: ₹3,650 in two to three months
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
