Day trading guide for today: After weak opening on Monday morning deals, Indian benchmark indices staged handsome gains and finally ended close to its previous closing levels. NSE Nifty ended 0.55 points higher at 18,497.15 whereas Sensex shed 51 points and closed at 62,130 levels. However, Bank Nifty index once again outperformed other key benchmark indices and finished 75 points higher at yet another all time closing high of 43,708 levels.
Among sectors, PSU Banks and Reality indices gained the most while IT and Pharma fell the most. Among broader markets, mid-cap and small-cap indices outperformed Nifty whereas advance decline ratio onn BSE ended at 1.04:1 mark.
According to stock market experts, a reasonable positive candle was formed on the daily chart, which signal comeback of bulls after a minor downward correction. After the downside breakout of 18,500 to 18,550 levels on Friday, Nifty not showing any sharp follow-through weakness on Monday could signal chances of false downside breakout at the said resistance.
Day trading guide for stock market today
Unveiling intraday trading tips for Tuesday session, Nagaraj Shetti, Technical Research Analyst at HDFC Securities said, “The short term trend of Nifty remains negative, but the emergence of buying from the intraday lows of Monday could be a cheering factor for bulls to make a comeback. A sustainable upside move only above the hurdle of 18,650 levels could confirm uptrend continuation pattern. Immediate support for NSE Nifty is placed at 18,350 levels.”
“Our markets have seen some correction in last one week which seems to be because of some profit booking on long positions. FII’s have unwound some of their long positions due to which their ‘Long Short Ratio’ has recently declined from 75 per cent to around 57 per cent. However, the index has retraced the recent upside move from 16,800 to 18,880 by 23.6 per cent. The market breadth has not deteriorated much and thus, it would be crucial to see if the index recovers from this retracement support. The banking index has managed to hold well as it has shown a relative outperformance and have supported the benchmark as well,” said Ruchit Jain, Lead Research at 5paisa.com.
Nifty call put option data
On Nifty call put option ratio, Shilpa Rout, Derivatives Lead Analyst at Prabhudas Lilladher said, “Nifty weekly expiry option chain witnesses PE writers adding their positions at 18400PE followed by 18500PE/ 18300PE- over 50 thousand shares each. CE writers maximum exposures lies at 18600 CE followed by 19000CE and 19500CE with fresh additions on 19000CE of more than 70 thousands OI shares. Lot of call unwinding seen on immediate strike prices of 18600, 18650 and 18700.”
Prabhudas Lilladher expert went on to add that Indian stock market continues to take breather and move sideways. Daily indicators: PCR_OI at 0.9, RSI at 56.28 and VIX hovering below 14 zones.
Bank Nifty call put option data
“Bank Nifty option chain on weekly basis reflects 43500 PE as strong support with active PE writers adding their positions nearly 50 thousand OI shares followed by new fresh max additions of more than 50 thousands OI shares on 43700 PE while the highest CE placements lies on multiple levels of 43700, 44000 and with new fresh additions on 45000CE of combined OI of over 80 thousands OI shares,” Shilpa Rout concluded.
Day trading stocks to buy today
On intraday stocks for today, share market experts — Sumeet Bagadia, Executive Director at Choice Broking; Anuj Gupta, Vice President — Research at IIFL Securities and Mehul Kothari, AVP — Technical Research at Anand Rathi — recommended 6 shares to buy today.
Sumeet Bagadia’s intraday stocks for today
1] Chambal Fertilisers: Buy at CMP, target ₹325 to ₹330, stop loss ₹300
2] Tata Consumer Products: Buy at CMP, target ₹825 to ₹830, stop loss ₹800
Anuj Gupta’s stocks to buy today
3] Axis Bank: Buy at CMP, target ₹955, stop loss ₹925
4] State Bank of India or SBI: Buy at CMP, target ₹630, stop loss ₹599
Mehul Kothari’s shares to buy today
5] ICICI Bank: Buy at ₹930, target ₹980, stop loss ₹900
6] ITC: Buy at ₹344, target ₹360, stop loss ₹334.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decisions.
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