Day trading guide for today: Six stocks to buy or sell on Friday — August 11

Day trading guide for today: After declaration of hawkish sounding RBI Monetary Policy Committee (MPC), Indian stock market witnessed sharp correction and finished lower on Thursday. Nifty index ended 89 points lower at 19,543 levels, BSE Sensex nosedived 307 points and closed at 65,688 mark whereas Bank Nifty index finished 338 points lower at 44,541 levels. In broad market, small-cap index went off 0.15 per cent while mid-cap index nudged 0.01 per cent lower in the previous session.

Day trading guide for stock market today

On outlook for Nifty today, Nagaraj Shetti, Technical Research Analyst at HDFC Securities said, "Negative chart pattern like lower tops and bottoms is intact as per daily chart. Though, Nifty seems to have formed a new lower top at 19,645 levels on Wednesday, there is no indication of any sharp weakness from the lower highs. Hence, a decisive move above 19650-19700 levels is expected to bring sharp upside move for the market ahead and further weakness from here could find support around 19450-19400 levels for the short term."

On why Bank Nifty index came under sell off pressure after RBI MPC meeting outcome declaration, Ashwin Ramani, Derivatives & Technical Analyst, SAMCO Securities said, "Bank Nifty came under intense selling pressure after the RBI introduced Incremental Cash Reserve Ratio(ICRR) of 10% on a temporary basis to drain excess liquidity from the banking system, which will leave the banks with lesser funds to lend. Bank Nifty closed below the 50-Day Exponential Moving Average (DEMA) of 44,673 Thursday. The downside support for Bank Nifty is placed at 44,300. A break below 44,300 can take Bank Nifty until 43,500 levels. For the uptrend to resume, Bank Nifty needs to give a strong close above 45,100 levels."

US inflation data in focus

On triggers that may dictate Indian stock market today, Siddhartha Khemka, Head - Retail Research at Motilal Oswal said, "Markets will now take cues from US inflation data, released on late Thursday as the data would further provide insights into Fed’s future policy decision."

US consumer inflation data for the month of July inched higher but remained at moderate levels. On late Thursday, US inflation data was released in which annual rate of US inflation was reported at 3.2 per cent. This may help US Fed to keep interest rates steady in next US Fed meeting.

Stocks in focus

Shares of SP Apparels, ABB India, Addi Industries, Ceinsys Tech, Dhruv Consultant, DP Abhushan are expected to remain in focus as board of directors of these companies are expected to announce dividends in their respective board meetings. Apart from this, 35 dividend stocks are going to trade ex-dividend today. Those 35 dividend paying stocks include Samvardhana Motherson, CCL Products, PI Industries, Pfizer, Divi's Labs, BHEL, Federal Bank, Citi Union Bank, Bandhan Bank, NTPC, Dr Lal Path Lab, Grasim Industries, etc.

Iris Clothings and Mena Mani Industries shares are going to trade ex-split today. Board of directors of Iris Clothings have declared stock split in 1:5 ratio whereas Mena Mani Industries board has considered and approved stock split in 1:10 ratio.

Q1 results today

A total of 227 listed companies would be declaring their respective Q1 results 2023. Those 227 companies include ONGC, HAL, Apollo Hospitals Enterprises, Power Finance Corporation, Jindal Steel & Power, Indian Railway Finance Corporation, Muthoot Finance, NHPC, Patanjali Foods, Voltas, Glenmark Pharma, NALCO, Raymond, ITI, City Union Bank, Cochin Shipyard, Reliance Infrastructure, Surya Roshni, Jamna Auto Industries, DB Realty, Atul Auto, etc.

Day trading stocks for today

On stocks to buy today, stock market experts — Sumeet Bagadia, Executive Director at Choice Broking; Ganesh Dongre, Senior Manager — Technical Research at Anand Rathi and Pravesh Gour, Senior Technical Analyst at Swastika Investmart — recommended six day trading stocks to look at.

Sumeet Bagadia's intraday stocks for today

1] Godrej Consumer Properties: Buy at ₹1026.30, target ₹1060, stop loss ₹1004.

Godrej Consumer Properties share has revealed a gradual upward movement in the larger time frame, indicating a persistent bullish trend. However, over the past week, the stock has experienced consolidation suggesting a temporary pause. ADX at a level of 24 indicates that the stock is currently in a moderate trend. RSI is positively skewed, indicates a favorable price action among investors potentially supporting the continuation of the upward trend. Furthermore, the increasing delivery volume indicates higher participation and interest from market participants.

2] TVS Motor: Buy at ₹1349.60, target ₹1392, stop loss ₹1325.

TVS Motor share price has formed a double bottom pattern in daily charts following a period of consolidation. The stock price is holding above the 40-day EMA, indicating potential support. In the larger time frame, the stock continues to form higher highs and higher lows, indicating an intact uptrend. The positive crossover on the MACD momentum indicator further confirms the bullish price action.

Ganesh Dongre's stocks to buy today

3] Tata Motors: Buy at ₹618, target ₹635, stop loss ₹605.

Tata Motors share has a bullish reversal pattern, technically retrenchment could be possible till ₹635. So, holding the support level of ₹605 this stock can bounce toward the ₹635 level in the short term. Hence, the trader can go long with a stop loss of ₹605 for the target price of ₹635.

4] M&M Finance: Buy at ₹286, target ₹296, stop loss ₹280.

On the short-term chart, the stock has shown a bullish reversal pattern, so holding the support level of ₹280 this stock can bounce toward the ₹296 level in the short term. Hence, the trader can go long with a stop loss of ₹280 for the target price of ₹296.

Pravesh Gour's day trading stocks

5] Coromandel International: Buy at ₹1075, target ₹1094, stop loss ₹1060.

Coromandel share price is continuing its higher high and higher low formation with support at 9-DMA.

6] Sonata Software: Buy at ₹1068, target ₹1094, stop loss ₹1051.

Sonata Software share price has witnessed the Breakout of a Symmetrical triangle formation with huge Volume.

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.