Day trading guide for today: 4 stocks to buy or sell on Monday — 13th February


Day trading guide for today: After logging gains on two straight sessions, Indian stocks ended lower on Friday on weak global cues as investors fretted about the potential for further Federal Reserve tightening and the effect on the economy. NSE Nifty fell marginally by 36 points and closed at 17,856 while BSE Sensex shed 123 points and closed at 60,682 mark. Bank Nifty finished 5 points higher at 41,559 levels. Broad market indices ended in the positive even as advance decline ratio ended at 1.08:1.

According to stock market experts, a small range candle was formed on the daily chart with minor upper and lower shadow. Technically, this pattern indicates a formation of doji type candle pattern. But, having formed this pattern amidst a range movement, the predictive value of this doji could be less.

Day trading guide for stock market today

Speaking on outlook for Nifty today, Nagaraj Shetti, Technical Research Analyst at HDFC Securities said, “After a sharp upside bounce of 8th February, the market has been consolidating in the last couple of sessions and this could be a part of range movement. The Nifty could eventually breakout of the pattern on the upside in the near term. Immediate support for NSE Nifty is at 17,760 levels and the next overhead resistance to be watched around 18,000 levels.”

Giving outlook for Nifty in the week ahead, Rohan Patil, Technical Analyst at SAMCO Securities said, “In the coming week, 17,600 will be sacrosanct support for the index, while 18,000 could be an immediate hurdle. A break above 18,000 levels will infuse buying towards 18,250 levels.”

Expecting upside trigger on Dalal Street, Ruchit Jain, Lead Research at said, “The global markets have done well recently but our markets have not seen such a move and have underperformed the global peers. The main reason for the underperformance has been the selling by the FIIs who have sold equities in the cash segment and have been sellers in the index futures segment too. Their ‘Long Short Ratio’ in the index futures segment is around 19 percent. These positions are short heavy and any positive trigger could lead to short covering by them. This would be the major trigger for the market and hence, traders should keep a close watch on their positions.”

Nifty call put option data

On Nifty call put ratio, Shilpa Rout, Derivatives Lead Analyst at Prabhudas Lilladher said, “Nifty weekly expiry option chain still reflects maximum PE writers position at 17800PE of over 1.37 lakh OI contracts followed by 17000PE of 70 thousand OI contracts. Unchanged CE writers position at 18000CE strike with over 1.34 lakh OI contracts and at 18500CE of nearly a lakh OI contracts. PCR_OI at 17800 is 1.58 which holds as a support for the index whereas immediate upside is capped at 18000.”

Bank Nifty call put option data

“weekly expiry option chain witnesses 41500 strike straddle still being aggressive where PE and CE writers hold position of 1.14 lakh and 1.01 lakh OI contracts. CE writers position visible at further strikes of 44000CE and 42000CE- each with over 82 thousand and 70 thousand OI contracts,” Shilpa Rout said.

Day trading stocks to buy today

Unveiling intraday stocks for today, stock market experts — Sumeet Bagadia, Executive Director at Choice Broking and Ganesh Dongre, Senior Manager — Technical Research at Anand Rathi — recommended four shares to buy today.

Sumeet Bagadia’s stock picks for Monday

1] Larsen & Toubro or LT: Buy at CMP, target 2200 to 2225, stop loss 2125

2] HDFC Bank: Buy at CMP, target 1690 and 1710, stop loss 1625

Ganesh Dongre’s stocks to buy today

3] Sumitomo Chemical India or SUMICHEM: Buy at 450, target 475, stop loss 435

4] IGL: Buy at 442, target 470, stop loss 425.

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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Article Source:Money Control

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