Day trading guide for stock market today: Six stocks to buy or sell on Wednesday — December 20
Meanwhile, the midcap index failed to perform. The BSE Midcap index ended with a loss of 0.31 per cent at 36,186.10.
“Domestic equities witnessed a second day of consolidation amid positive global cues. Rate cut expectations lifted the US market to close near a record high, while Asian markets posted modest gains after the Bank of Japan kept the interest rate unchanged. Nifty opened higher and touched a new lifetime high of 21505 before ending the day with minor gains of 34 points (+0.2%) at 21453 levels. The broader market ended with a minor loss as Midcap100/Smallcap100 was down -0.4%/-0.1%. Stock and sector-specific action was seen in the market. PSUs, FMCG, and Energy gained more than 1%. PSU Banks are now well placed to sustainably deliver 1% RoA, implying scope of earnings upgrade and thus driving continued rerating of the sector. The overall market sentiments remain buoyant on the back of continued FII buying and strong macro data. FIIs have already bought ~Rs30000cr worth of equities in December month so far. Going ahead, the positive momentum is likely to continue largely driven by liquidity and vibrant mood ahead of Christmas and New Year,” said Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services Ltd.
Day trading for the stock market today
On Nifty50, Rupak De, Senior Technical analyst at LKP Securities, said, “Nifty found support just above the 21EMA on the hourly chart, prompting a strong recovery in the latter part of the session. The momentum indicator maintains a positive crossover, suggesting ongoing strength. The bullish trend is expected to persist as long as it stays above 21350 consistently. On the upper side, Nifty is likely to encounter resistance from call writers at 21500. A definitive breakthrough above 21500 could potentially initiate a substantial market rally; until then, consolidation appears probable.”
On Nifty Bank Outlook, Kunal Shah, Senior Technical & Derivative analyst at LKP Securities, said, “The Bank Nifty index maintained its consolidation phase within a range but needs to close above the crucial level of 48000 to sustain the upward momentum. The lower-end support is positioned at 47800, and a decisive break below this level on a closing basis may trigger additional selling pressure in the market.”
Stock market today
“We are seeing buying interest on every dip in the index and that reaffirms our bullish view. The defensives, such as FMCG and pharma are doing well on the expected lines, however, the participation of rate sensitives would be essential to trigger the next leg of up move. Meanwhile, it is critical to identify the pattern of rotational buying across sectors and place the trading positions accordingly,” said Ajit Mishra, SVP – Technical Research, Religare Broking.
Nifty Call Put Option Data
Speaking on Nifty Call Put Option data, Chinmay Barve, Head of Technical and Derivative Research at Profitmart Securities said, “ Major total Call open interest was seen at 21500 and 21600 strikes with a total open interest of 234529 and 150107 contracts respectively. Major Call open interest addition was seen at 21500 strike which added 51524 contracts in open interest,” adding, “ Major total Put open interest was seen at 21400 and 21300 strikes with total open interest of 222510 and 159247 contracts respectively. Major Put open interest addition was seen at 21400 strike which added 110446 contracts in open interest.”
Bank Nifty Call Put Option Data
On Bank Nifty Call Put Option data, Chinmay Barve of Profitmart Securities said, “Major total Call open interest was seen at 48000 and 48200 strikes with a total open interest of 321503 and 198332 contracts in open interest. Major Call open interest addition was seen at the 48200 strike which added 63045 contracts,” adding, “Major total Put open interest was seen at 47800 and 47700 strikes with total open interest of 217217 and 175780 contracts respectively. Major Put open interest addition was seen at 47800 strike which added 88600 contracts in open interest.”
Day trading stocks for today
On intraday stocks for today, stock market experts — Sumeet Bagadia, Executive Director at Choice Broking, and Ganesh Dongre, Senior Manager of technical Research at Anand Rathi, and Mitesh Karwa, Research Analyst at Bonanza Portfolio — recommended six stocks to buy today.
Sumeet Bagadia’s intraday stocks for today
- Havells: Buy at ₹1372, target ₹1454, stop loss ₹1330
HAVELLS, currently trading at ₹127.5, formed a rounding bottom pattern breakout on the daily chart. The current price is exhibiting strong bullish momentum, expected to continue towards the ₹1454 level. On the flip side, there is strong support near ₹1330.
Moreover, HAVELLS is trading above key Exponential Moving Averages (EMAs), including the 20-day, 50-day, 100-day, and 200-day EMAs, indicating robust bullish momentum and suggesting potential for further upward price movement. The Relative Strength Index (RSI) is presently at 69, showing an upward trajectory and indicating increasing buying momentum. Additionally, the Stochastic Relative Strength Index (Stoch RSI) exhibits a positive crossover. These technical indicators collectively suggest that HAVELLS may have the potential to reach a target price of ₹1454 in the near term.
To manage risk effectively, it is advisable to set a stop-loss (SL) at ₹1330 to safeguard the investment in the event of an unexpected market turn. A prudent strategy would be to consider buying on dips at levels of ₹1355 and ₹1340.
Overall, considering the technical analysis and current market conditions, HAVELLS presents a promising buying opportunity for those aiming for a ₹1454 price target, provided that prudent risk management measures are in place.
2. Auropharma: Buy at ₹1032.85, target ₹1085, stop loss ₹1000
AUROPHARMA is currently trading at 1032.85 levels. The stock has bounced back from the support range of 998-1008 levels which is also close to its 20 Day EMA levels. Currently, the stock is trading above all the important moving averages. The momentum indicator has bounced and moved higher currently trading at 58 levels. On the higher side, we can witness a resistance close to its all-time high level of 1060. Once stock surpasses the mentioned resistance it can move higher towards the target price of 1085 and above.
With a short to medium-term outlook, one can buy AUROPHARMA at a CMP of 1032.85 with an SL of 1000 for a target price of 1085.
Ganesh Dong re’s stocks to buy today
3. Mahabank: Buy at ₹48, target ₹52, stop loss ₹46
In the short-term trend, the stock has a bullish reversal pattern, technically retrenchment could be possible till 52 so, holding the support level of 46 this stock can bounce toward the 52 level in the short term, so the trader can go long with a stop loss of 46 for the target price of 52.
4. Sobha: Buy at ₹1,000, target ₹1,052, stop loss ₹990
On the short-term chart, the stock has shown a bullish reversal pattern, so holding the support level of 990. this stock can bounce toward the 1025 level in the short term, so the trader can go long with a stop loss of 990 for the target price of 1025.
Support – 20700/20800 | Resistance – 21350/21400
Mitesh Karwa’s buy or sell stocks
5. Ibrealest: Buy at ₹95.5-96.2, target ₹103, stop loss ₹92
IBREALEST is seen to be breaking out of the resistance zone and closing in green with a bullish candlestick which is why a buy recommendation is initiated for targets up to ₹103. One can initiate anabuy-on dip in the range of ₹95.5-96.2 with a stop loss below ₹92 on a daily closing basis.
6. Heritage Food: Buy at ₹246-247, target ₹260, stop loss ₹238
HERITGFOOD is seen to be breaking out of a trendline resistance on the daily timeframe and making a bullish candlestick after the breakout which is recommended for targets up to ₹260. One can initiate a buy trade in between the range of 246-247 with a stop loss of ₹238 on a daily closing basis.
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 making any investment decision.
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Published: 20 Dec 2023, 06:33 AM IST
Ganesh
http://ganesh@finplay.inFinance enthusiast, Mutual fund expert.