Angel One Analyst Recommends Buying Triveni Engineering and PCBL Shares

India's Stock Market Indices Open Lower Amid Global Concerns

April 23 - India's stock market indices started the day lower as Brent crude oil prices surpassed $100 per barrel, following Iran's seizure of two vessels in the Strait of Hormuz, without any indication of peace negotiations resuming. The Nifty 50 index decreased by 0.72% to 24,202.35, while the BSE Sensex fell by 0.68% to 77,983.66 by 09:15 IST.

Investors will be closely watching the earnings from key companies, including Infosys, which is set to release its earnings report for the March quarter later in the day. Mid- and small-cap companies, such as Union Bank of India, Adani Energy Solutions, Tata Capital LTM, Aditya Birla Sun Life AMC, and Himadri Speciality Chemical, will also be under the spotlight for indications of sector performance.

Market Outlook

Read also: Treasury Yields Experience Largest Increase in Two Weeks Following Release of Labor Market Data

The Indian equity markets opened on a bleak note, influenced by negative global cues reflected in the GIFT Nifty. The benchmark indices witnessed a gap-down start and extended losses during early trading hours. However, markets later showed signs of stabilization and traded within a narrow range. Despite this, selling pressure persisted, leading to a modest correction.

Technical Analysis

The Nifty 50 index eventually declined by 0.81%, slipping slightly below the 24,400 zone, indicating cautious market sentiments. The benchmark index's winning streak came to an end, primarily weighed down by weakness in IT stocks. Despite this pause, the broader market's technical structure remains constructive, with the Nifty 50 Index continuing to trade between its 50 and 100-day EMA on the daily chart.

Read also: US-Iran Tensions Spark Uptick in Oil Prices Amid Global Market Decline

Stocks to Buy

Osho Krishan of Angel One recommended two stocks to buy on Thursday: Triveni Engineering & Industries Ltd and PCBL Chemical Ltd.

Triveni Engineering & Industries Ltd

Triveni Engineering & Industries has been trading firmly above its key EMAs, post the resurgence from lows of 330 subzone in recent period. The prevailing technical structure remains constructive, indicating potential for continued upward momentum. The stock has witnessed a consolidation breakout and seems poised to reclaim its recent swing high. Hence, we recommend a BUY in Triveni Engineering & Industries around ₹405-400 with a Stop Loss of ₹382 and a Target of ₹450-462.

PCBL Chemical Ltd

PCBL Chemical has undergone a notable recovery over the past few weeks, with prices retracing above its 20 and 50-DEMA and momentum indicators turning bullish. Recent price action suggests stabilization at lower levels, indicating emerging buying interest on the daily chart. Furthermore, the MACD histogram has exhibited a positive crossover and surged above the zero line, reinforcing the likelihood of a bullish reversal. Hence, we recommend a BUY in PCBL Chemical around ₹285-280 with a Stop Loss of ₹260 and a Target of ₹318-325.