Breakout stocks to buy or sell: Sumeet Bagadia recommends four shares to buy today — 2 January 2025

On the first trading day of 2025, the Indian stock markets traded with positive momentum, with Nifty 50 ending 98 points higher at 23,742. The BSE Sensex gained 435 points to close at 78,574, while the Nifty Bank index advanced 235 points to end at 51,096. Wider indices were also strong, with mid-cap and small-cap indices up 0.4% and 1%, respectively.

The market bias has improved since the Nifty 50 came off its 23,500 support level, Sumeet Bagadia, Executive Director at Choice Broking, said, adding that the biases are showing in the stock lists. However, he said, the index was encountering major resistance at the 23,850 level. A strong close above this level will signal a trend reversal, confirming a bullish phase that can take the index to 24500 and 24800 in the short term, said Bagadia.

According to Bagadia, investors should have a stock-specific approach in the market. He told everyone to concentrate on breakout stocks today only for intraday trade and added that only stocks with strong technicals should be traded. On 2 January 2025, his breakout stock recommendations included four shares to buy with exact entry, target, and stop-loss.

The first pick is Jindal Worldwide, which is recommended as one of the shares to buy today. Investors can buy at ₹422.50 with a stop loss of ₹405 and a goal price of ₹450. The second stock is NDR Auto Components, which has been suggested to buy at ₹747 with a target price of ₹805 and a stop loss at ₹720. Third on the list is Jost's Engineering, which has been called out at ₹618.90, targeting ₹655 with a stop loss at ₹595. Lastly, Savita Oil Technologies is mentioned with a buy rate of ₹565.35, given a target of ₹610 and a stop loss of ₹545.

Traders should also keep light holdings until the Nifty 50 makes a decisive break above the 23,850 resistance, Bagadia added. If surpassed, it will raise the confidence for a new bull today in the stock market.

Bagadia's breakout stocks today have interesting prospects in a market displaying signs of revival and strength for those debating plans.