Day trading stocks for Wednesday: After a gap up opening on Tuesday, Indian stock market continued the upward journey further and closed the day in green territory. The Nifty 50 index shot up 417 points and closed at 16,259 mark whereas BSE Sensex skyrocketed 1344 points and closed at 54,318 levels. Nifty Bank index surged 704 points and closed at 34,301 levels. According to stock market experts, it is still not clear whether the markets have bottomed and started a new rally or is it just a pullback. So, today’s closing will be important and hence one should take Tuesday rally as pull back move.
Day trading guide for stock market today
Speaking on day trading guide for stock market today, Ruchit Jain, Lead Research at 5paisa.com said, “Since last three trading sessions, Nifty was consolidating in a range around the March low supports. The index needed to surpass the narrow range formed in last three sessions for next directional move and as the index gave a breakout above 16000, we saw a sharp rally from thereon. As the hurdle was surpassed, we witnessed short covering in the derivatives segment and all the sectors participated in the up move which added fuel to the rally. Now, a big question looking at today’s move is whether the markets have bottomed and started a new rally or is it just a pullback.”
“In our sense, the index was trading around the previous low supports and the momentum readings were quite oversold, so the relief rally was much required which was seen today. For a change in trend, market has to confirm with a higher top higher bottom structure which is yet to be seen and till then, one should take this as a pullback move. The immediate resistance will be seen in the range of 16350-16400 where the 38.2% retracement of the recent correction coincides with the hourly 89 EMA. On the flipside, as the market rallied today, the call writers in the options segment went to cover their positions while additions were seen in 16000 puts. Thus, 16000 becomes an immediate support now for the short term,” Ruchit Jain of 5paisa.com added.
Day trading stocks
Sharing intraday stocks for today, stock market experts — Mehul Kothari, AVP — Technical Research at Anand Rathi; Anuj Gupta, Vice President — Research at IIFL Securities and Avinash Gorakshkar, Head of Research at Profitmart Securities — recommended 6 stocks to buy today.
Mehul Kothari’s intraday stocks for today
1] HCL Technologies: Buy between ₹1075 to ₹1085, target ₹1190, stop loss ₹1025
2] TCS: Buy between 3445 to ₹3455, target ₹3550, stop loss ₹3400
Anujn Gupta’s day trading stocks to buy today
3] State Bank of India SBI: Buy at CMP, target ₹510, stop loss ₹448
4] GAIL: Buy at CMP, target ₹180, stop loss ₹144
Avinash Gorakshkar’s stocks to buy today
5] Larsen & Toubro: Momentum buy at CMP, target ₹1690, stop loss ₹1560
6] Jindal Steel: Buy at CMP, target ₹520, stop loss ₹465.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint.