Stock Market Recommendations for January 23, 2025

According to Aakash K Hindocha, Deputy Vice President - WM Research, Nuvama Professional Clients Group, the top stock picks for today are Bajaj Finserv, Muthoot Finance, and ABDL. Here’s an in-depth look at the Nifty, Bank Nifty, and the top stock recommendations for investors.

Index View: Nifty

Pressure on Nifty eased in the last hour of trade after it failed to break its previous day’s low despite a broader market selloff. A range-bound trade between 23000 – 23300 is anticipated for the rest of the week, with a significant medium-term support developing near 22800 – 22650.

Bank Nifty

The index recovered close to 700 points from its intraday lows, buoyed by better-than-expected numbers from an index heavyweight. Trading above 48850 on spot levels would negate the short-term bearish flag formation on hourly charts, with support now at 48000 levels.

BAJAJFINSV (BUY)

Bajaj Finserv has shown an unusual buying interest since the start of the year, with the stock up 11% in three weeks. A bullish flag breakout on daily charts suggests a continued inflow momentum for another 5-7% upside.

MUTHOOTFIN (BUY)

Muthoot Finance is exhibiting relative strength, less than 5% away from reclaiming its all-time highs. A fresh bullish flag breakout on daily charts opens the door to new highs, especially with the upcoming budget expected to provide a tailwind for the sector.

ABDL (BUY)

ABDL has been outperforming broader markets and its peers for the past 8 weeks, with a 25% rise from its November 2024 levels. The stock has shown resilience at the 385 level, suggesting a potential 8-10% reversal rally.

Disclaimer: The opinions, analyses, and recommendations expressed herein are those of brokerage and do not reflect the views of The Times of India. Always consult with a qualified investment advisor or financial planner before making any investment decisions.