Stocks to Buy Today: ICICI Bank, M&M Among Top 7 Trading Ideas for May 16, 2025

Market Overview

The Indian stock market is poised for a positive start on Friday, May 16, 2025, buoyed by optimistic signals from global markets and strong bullish trends in the derivatives segment. As trading sessions commence, market analysts suggest that investors should consider adopting a "buy-on-dips" strategy, given the current financial landscape.

The Nifty 50, the benchmark index of the Indian stock market, opened at 24,750.70, down by 82.9 points. However, recent data indicates a shift in sentiment towards the bullish side, providing a conducive environment for investment.

Market Sentiment Indicators

Recent fluctuations in the Put-Call Ratio (PCR)—a measure of market sentiment—rose sharply from 0.73 to 1.08, marking a significant pivot towards bullish sentiment among investors. Alongside this, the India VIX, a gauge of market volatility, dipped nearly 2% to 16.89, signaling reduced turbulence in expected market movements.

Shrikant Chouhan, Head of Equity Research at Kotak Securities, noted that the Nifty cleared crucial levels of 25,000/82,500, closing positively above this threshold. This upward trajectory was further emphasized by a bullish candle observed in the daily chart and supportive patterns in intraday charts, suggesting potential for continued upward movement.

Expert Insights for Trading Strategies

Market analysts recommend that day traders consider purchasing on intraday dips, while also capitalizing on rallies. Key support levels to monitor include 24,900/82,200 and 24,750/81,800, with potential resistance levels identified between 25,210–25,300/82,800–83,000. A breach below the crucial support level of 24,750/81,800 could indicate vulnerability in the ongoing bullish trend, warranting caution among traders.

In light of the current trends, a selection of stocks has been highlighted by market experts as attractive trading opportunities for short-term traders.

Recommended Stocks for Today

• Trent Ltd:

  • Action: Buy
  • Target Price: Rs 5,750
  • Stop Loss: Rs 5,490

• TVS Motor Company Ltd:

  • Action: Buy
  • Target Price: Rs 2,870
  • Stop Loss: Rs 2,740

• Bata India Ltd:

  • Action: Buy
  • Target Price: Rs 1,270
  • Stop Loss: Rs 1,215

• Hindalco Ltd:

  • Action: Buy
  • Target Price: Rs 680
  • Stop Loss: Rs 650

• ICICI Bank Ltd:

  • Action: Buy
  • Target Price: Rs 1,520
  • Stop Loss: Rs 1,420

• Mahindra & Mahindra Ltd (M&M):

  • Action: Buy
  • Target Price: Rs 3,300
  • Stop Loss: Rs 3,080

• NBCC Ltd:

  • Action: Buy
  • Target Price: Rs 113
  • Stop Loss: Rs 103

Conclusion

As traders navigate the market today, the encouraging signals coupled with expert recommendations create an opportunity for strategic investment. However, market participants are advised to remain mindful of the outlined support and resistance levels and exercise prudent investment practices.

Investors are welcomed to continuously track financial news and expert analysis to make informed choices regarding their portfolios.

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