Day Trading Guide for Tuesday: Indian stocks fell for the second consecutive day on Monday following weak global cues after higher-than-expected inflation data from the US on Friday. The Nifty 50 index fell 427 points to end at 15,774 while the BSE Sensex lost 1456 points to end at 52,846. Nifty Bank index lost 1077 points and closed at 33,405 level.
According to Share Market According to experts, a long downside candle was formed with a long lower shadow on the daily chart. Technically, this pattern shows an ongoing down trend in the market and a downside breakout attempt is being made near the support level of 16,700. The formation of a long lower shadow indicates the emergence of minor buying interest from the lows. He said that Nifty is now on the edge of important support at 15,650 to 15,700 level. The previous opening gaps on the weekly chart have been filled immediately after opening in the past. This action of the market raises the expectation of buying in the event of a fall.
day trading guide for stock market today
Speaking on the day trading guide for Nifty today, Nagraj Shetty, Technical Research Analyst, HDFC Securities said, “Short-term trend of Nifty remains negative. Reaching crucial lower support of 15,700 and formation of empty weekly opening downside gap, next. There is a possibility of an upside bounce from the lows of around 15,500 to 15,400 in 1-2 sessions.”
Advising traders to trade in the direction of the trend, Ruchi Jain, Lead Research, 5paisa.com said, “Our markets are following global cues and acting accordingly as we continue to gain momentum in indices across the globe. Looking at the cut. The bearish position created by FIIs in the US dollar index as well as the index futures segment turned the trend down again last week, following a pullback move of 16,800. As of now, No respite is seen as the data remains negative for the equity markets. And technically also, the oscillator was back in ‘sell mode’ on Friday last week. Hence, till we see any positive or opposite signal. Till then the trend remains down and hence, traders should trade in the direction of the trend.
Ruchi Jain of 5paisa.com further said that the reading momentum is oversold on the hourly chart but not on the daily chart which is in ‘sell’ mode. Therefore, a pullback move to revive the oversold set up of the lower time frame charts cannot be ruled out. But any such pullback will be just a counter trend move and traders should look for selling opportunities in the same.
day trading stocks
Sharing the intraday stocks for today, stock market expert – Mehul Kothari, AVP – Technical Research at Anand Rathi; Anuj Gupta, Vice President – Research at IIFL Securities and Avinash Gorakshakar, Head of Research at Profitmart Securities – made a buy or sell recommendation on 6 stocks today.
Today’s Intraday Stock of Mehul Kothari
1]Reliance Industries Limited or RIL: Buy, target around 2663 2720, stop loss 2630
2]Mahindra & Mahindra or M&M: Buy Nearby 1005, target 1045, stop loss 980
Anuj Gupta’s stock today
3]State Bank of India or SBI: Sell on CMP, Target 420, stop loss 485
Will buy day trading shares of Avinash Gorakshakar today
4]Colgate-Palmolive or Copal: Buy on CMP, Target 1585, stop loss 1490
5]Bajaj Auto: Buy on CMP, Target 4000, stop loss 3820.
Disclaimer: The views and recommendations given above are those of individual analysts or broking companies and not of Mint.