Market Trading Guide: Buy RIL and Coal India on Thursday for near term gains up to 8%

Nifty ended higher on Wednesday led by buying action in auto, FMCG and IT stocks. The RSI now appears on the verge of re-entering a bullish crossover on the daily chart.

Rupak De, Senior Technical Analyst at LKP Securities said Nifty rallied above the 50EMA but failed to sustain above it on a closing basis. However, it held above the support level of 24,150 on the daily timeframe. “The overall sentiment remains unclear, with the possibility of the trend turning in either direction. Additionally, the BSE monthly expiry could keep the market volatile. Level-wise, 24,150 and 23,900 are likely to act as support, while 24,350 and 24,550 may act as resistance,” De added.

Here are 2 stocks to buy:

Buy RIL at Rs 1,420-1,430 | Upside: 6%

Stop Loss- Rs 1,382
Target: Rs 1,500-1,520

Reliance Industries Limited is displaying strong bullish momentum with RSI sustaining above 60 and price reclaiming and moving above key EMAs, indicating trend strength. The recent price action resembles a Three White Soldiers, suggesting sustained buying interest and continuation potential. A buy at CMP (Rs 1,420–1,430) remains favourable with a stop-loss at Rs 1,382. On the upside, maintaining the current structure can lead to₹1,500–1,520 levels. Overall bias stays bullish as long as price holds above EMAs, with momentum clearly supporting further upside continuation. Sustained momentum without immediate signs of exhaustion. As long as the price holds above the breakout level, the trend remains intact, making it an attractive buy-on-dips opportunity.

(Virat Jagad, Sr. Technical Research Analyst, at Bonanza Portfolio)

Buy Coal India at Rs 475-480 | Upside: 8%

Stop Loss- Rs 455
Target: Rs 510-520

Coal India Limited is showing strong bullish momentum, with the price breaking above a key resistance zone near Rs 470 and sustaining above major EMAs, indicating trend continuation. RSI is holding above 60, reflecting strength and suggesting sustained buying interest. A buy at CMP of Rs 475–480 can be considered with a stop-loss at ₹455. On the upside, the stock could move towards Rs 510–520, offering a favourable risk reward setup. As long as price holds above the breakout zone, the bullish structure remains intact with potential for further upside.

(Virat Jagad, Sr. Technical Research Analyst, at Bonanza Portfolio)

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)