Day trading guide for Tuesday: After the beginning of weakness from the lower high on Friday, the stock market crash continued on Monday. NSE Nifty crashed 531 points and closed at 16,842 whereas BSE Sensex tumbled 1747 points and closed at 56,405 levels. Bank Nifty index plummeted 1608 points and closed at 36,908 levels. According to stock market experts, Indian markets closed near the lows on Monday and the opening downside gap remains unfilled. They went on to add that technically, this pattern indicates a resumption of sharp trended declines from a lower top. The present unfilled opening downside gap could be considered as a downside breakaway gap.
Day trading guide: What global cues signal?
Highlighting the reason for continued stock market bloodbath; Anuj Gupta, Vice President at IIFL Securities said, “This stock market crash can be attributed to two major reasons — escalation in Russia Ukraine conflict leading to rise in global inflation worries after the sharp year-on-year rise in US inflation rate in last 40 years. At US markets on Monday, Dow Jones Futures has shed 0.49 per cent while SGX Nifty today is trading flat. So, I am expecting this weakness in the secondary market to continue as any rise should be seen as a selling opportunity by traders.”
Advising traders to keep an eye on SGX Nifty live price, Anuj Gupta of IIFL Securities said, “Broader range for SGX Nifty today is 16,400 to 17,330 whereas shorter range for the same is 16,680 to 17,050 levels. Breakage of any side should be seen as positive or negative trend for Indian markets.”
Day trading guide for stock market today
Speaking on day trading guide for Nifty today; Nagaraj Shetti, Technical Research Analyst at HDFC Securities said, “The near term trend of Nifty is sharply down. The overall negative chart pattern and a decisive downside breakout of the important support could indicate continuation of down trend for the market ahead. The initial downside targets to be watched at Nifty today are around 16,500 levels and 16,200 levels, which could be achieved in the next couple of weeks. Any attempt of pullback rally could find strong resistance around 16,950 to 17,000 levels.”
Asking day traders to remember their levels; Sumeet Bagadia, Executive Director at Choice Broking said, “High risk traders should keep in mind that shorter range for Nifty today is 16,800 to 17,100 whereas broader range for Nifty 50 is 16,700 to 17,200. Similarly, shorter range for Nifty Bank index is 36,500 to 37,300 while broader range for Bank Nifty index is 36,000 to 37,700 levels.”
Day trading strategy for today
Unveiling intraday trading strategy for Tuesday; Ruchit Jain, Lead Research at 5paisa.com said, “Monday’s high of 17,100 at NSE Nifty will now be seen as immediate resistance and until the Nifty reclaims this level, selling pressure could be seen on intraday pullbacks. The Banking index, which was holding the markets since last one month too gave up on Monday and breached its important short term supports. Hence, it is advisable to stay light on positions and avoid aggressive trading aggressively.”
Day trading stocks to buy or sell today
Sharing day trading stocks for today; stock market experts — Sumeet Bagadia of Choice Broking; Anuj Gupta, vice President at IIFL Securities and Avinash Gorakshkar, Head of Research at Profitmart Securities — recommended 6 stocks to buy or sell today.
Sumeet Bagadia’s day trading stocks
1] Tata Consultancy Services or TCS: Buy at CMP, target ₹3850 to ₹4000, stop loss ₹3600
2] Vedanta: Sell at CMP, target ₹350, stop loss ₹374
Avinash Gorakshkar’s day trading stocks to buy today
3] Cummins India: Buy at CMP, target ₹985, stop loss ₹930
4] ONGC: Buy at CMP, target ₹176, stop loss ₹161.50
Anuj Gupta’s stocks to buy today
5] India Cements: Buy at CMP, target ₹210, stop loss ₹184
6] Hindustan Zinc: Buy at CMP, target ₹335, stop loss ₹297.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint.
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