11-06-2025
Closing bell! Gail to TVS Motor - Jay Thakkar suggests three stocks to buy for short-term in F&O segment
Stock market today: Indian stock benchmarks moved largely steady with a positive tilt on Wednesday, marking a fifth consecutive day of gains, influenced by strong economic fundamentals like manageable inflation rates and robust economic growth indicators. Support from firm global cues also helped bolster the Indian stock indices.
As of 14:25 IST, the Sensex was at 82,538.79 points, rising by 145.88 points or 0.18%, while the Nifty 50 stood at 25,146 . 70 points, gaining 43.05 points or 0.17%.
According to ICICI Securities' Jay Thakkar, the Nifty 50's down side has 25,000 as its immediate support. Thakkar recommends GAIL Futures, TVS Motor Company Futures, and REC Futures. Here's what he says about the overall market.
Nifty 50 has provided a breakout above 25,000 levels and it has managed to close above it for 3 consecutive trading sessions indicating that the upside probability is higher. On the lower side, the immediate support is 25,000 and below that 24,800, whereas, the target on the upside comes to 25,300 on an immediate basis and above those 25,500 levels until next week.
The DIIs have been buying in the equity cash segment since past 16 days and the FIIs too have turned positive since past 3 days, hence the liquidity flow is good in equity cash segment. In the Index Futures, the FIIs net long % is still 20% only, hence some more short covering is expected since the Nifty 50 and Bank Nifty have provided a breakout on the upside.
On the options front , these weekly contracts indicate that 25,000 is an immediate support as both 25,000 and 25,100 strikes have huge put OI, whereas, on the upside only 25,200 has the highest call OI, the range is 25,200 to 25,000 and whichever side it breaks out there will be minimum 200 points move thereafter. Based on the recent upward breakout, the possibility of the range breaking up is high, hence we maintain our outlook positive for the Index for the short term targets of 25,400 and 25,500 levels.
Jay Thakkar of ICICI Securities recommends GAIL Futures, TVS Motor Company Futures, and REC Futures.
GAIL has been moving higher and it has taken off its multiple swing resistance indicating further upward momentum and recently this up move has come with long built up from quite less OI overall in futures thus increasing the probability of an upside. The shorts have been covered and now we are seeing long built up in the stock. The stock has a huge call base at 200 strike which when taken off will lead to unwinding of calls thus helping the stock price to move higher. The stock is currently trading well above its 20-VWAP as well as its max pain levels, so on most of the parameters the bulls have an upper hand.
The stock was consolidating within a range since couple of weeks and now the breakout has come on the upside with long built overall, hence the short to medium term outlook is positive for the stock. The correction in the stock was mainly due to profit booking and now with this breakout the possibility of an upside is higher. The stock has a strong call base at 2,800 levels, hence a breakout above those levels will lead to further upward momentum. The stock is trading just above its max pain levels, however, it is well above its 20-day VWAP levels.
The stock was consolidating for a long time, however, with the recent rate cut the stock has provided a breakout from the same coupled with long built up as well. The initial fall was due to long unwinding followed by short built up, however, the shorts seems to have covered and now with this breakout there is a higher chance of long additions. Since, it is too oversold the stock is likely to bounce back until 440 levels which is near to its previous swing high.
Disclaimer: The Research Analyst or his relatives or I-Sec do not have actual/beneficial ownership of 1% or more securities of the subject company, at the end of 10/06/2025 or have no other financial interest and do not have any material conflict of interest.
The views and recommendations provided in this analysis are those of individual analysts or broking companies, not Mint. We strongly advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and individual circumstances may vary.
