Day trading guide for today: Six stocks to buy or sell on Monday — October 16

Day trading guide for today: On account of weak global cues, Dalal Street ended lower on Friday. Nifty 50 index lost 42 points and closed at 19,751 levels, BSE Sensex shed 125 points and closed at 66,282 mark whereas Bank Nifty index corrected 311 points and closed at 44,287 levels. Broad market indices closed almost flat even as the advance decline ratio dropped to 0.88:1.

Day trading guide for stock market today

Speaking on outlook for Nifty 50 today, Nagaraj Shetti, Technical Research Analyst at HDFC Securities said, "The short term trend of Nifty continues to be positive. A decisive move above the hurdle of 19,800 to 19,850 levels is likely to bring another round of sharp upside momentum for the near term. Immediate support for Nifyt 50 today is placed at 19,630."

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On outlook for Bank Nifty today, Chinmay Barve, Head of Technical and Derivative Research at Profitmart Securities said, "Last week, Nifty Bank had crossed above its 5 days exponential moving average but the momentum failed to pick up. Levels of 44,700 are acting as a strong resistance for almost two weeks now and going forward, any weekly close above 44,700 mark would be considered as sign of strength."

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Nifty Call Put Option data

On Nifty Call Put Option data, Chinmay Barve said, "Major total Call open interest was seen at 19800, 19900 and 20000 strikes with total open interest of 130201, 106641 and 105086 contracts respectively. Major Call open interest addition was seen at 19800 and 19900 strikes which added 38934 and 41160 contracts respectively," adding, "Major total Put open interest was seen at 19700 and 19600 strikes with total open interest of 143953 and 106031 contracts respectively. Major Put open interest addition was seen at 19700 and 19600 strikes which added 67183 and 52896 contracts respectively."

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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 44500, 44600, 44700 and 45000 strikes with total open interest of 164262, 127389, 116034 and 160629 contracts respectively. Major Call open interest addition was seen at 44300, 44400 and 44500 strikes which added 88135, 71185 and 47629 contracts in open interest respectively," adding, "Major total Put open interest was seen at 44300, 44200 and 44000 strikes with total open interest of 97819, 97765 and 118838 contracts respectively. Major Put open interest addition was seen at 44300 and 44200 strikes which added 48305 and 45874 contracts respectively."

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Day trading stocks for today

On intraday stocks for today, stock market experts — Sumeet Bagadia, Executive Director at Choice Broking; Ganesh Dongre, Senior Manager — Technical Research at Anand Rathi and Ashish Katwa, Technical Analyst at Bonanza Portfolio — recommended six stocks to buy today.

Buy or sell: Sumeet Bagadia recommends three stocks to buy this week

Sumeet Bagadia's intraday stocks for today

1] Sun Pharma: Buy at ₹1145.30, target ₹1200, stop loss ₹1110.

Sun Pharma share is presently trading at ₹1145.30 levels, having recently broken out from its previous range of ₹1135 to ₹1110 that persisted for a week. This breakout signifies a potential shift in the stock's price dynamics, making it an intriguing investment prospect.

In addition, the Relative Strength Index (RSI) is trending upward and appears to be on the verge of a positive crossover, indicating a potential increase in buying pressure. Moreover, Sun Pharma's price is currently positioned above its 20-50-100-200 Exponential Moving Averages (EMA), suggesting underlying strength in the stock.

2] Chambal Fertilisers: Buy at ₹291.20, target ₹306, stop loss ₹284.

Chambal Fertilisers share price is currently trading at ₹291.20 levels. The stock has bounced from the support levels and has crossed the initial resistance of ₹286 which was also close to its 200 Day EMA levels. Currently stock is trading above all the important moving averages. Momentum indicator RSI is trading near 64 levels indicating strength. A smaller resistance is witnessed around ₹296 levels, once stock sustains above the mentioned resistance it can further move towards the target of ₹306 and higher.

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Ganesh Dongre's stocks to buy today

3] Axis Bank: Buy at ₹994, target ₹1018, stop loss ₹980.

In the short-term trend, the stock has a bullish reversal pattern, technically retrenchment could be possible till ₹1018. So, holding the support level of ₹980 this stock can bounce toward the ₹1018 level in the short term Hence, the trader can go long with a stop loss of ₹980 for the target price of ₹1018.

4] M&M Finance: Buy at ₹287, target ₹298, 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 ₹298 level in the short term. Hence, the trader can go long with a stop loss of ₹280 for the target price of ₹298.

Ashish Katwa's buy or sell stocks

5] Tata Motors: Buy at ₹667 to ₹665, target ₹710, stop loss ₹640.

After a strong run, Tata Motors share started consolidating at the upper end where, on the daily chart, we've seen a breakout of the pennant formation. This tells us that the bulls are in charge of security. On the indicator front, RSI is trading close to the overbought area, which shows a positive trend in the Tata Motors. We could see further buying interest in script till the ₹710 marks, with immediate support of ₹640. Another buying pressure would have been possible if it had managed to hold above the threshold.

6] Jamna Auto: Buy at ₹120.25 to ₹119.50, target ₹127.10, stop loss ₹116.70.

On the four hourly chart, the stock has given a breakout of Falling supply trend line with bullish candlestick. The Stock is trading above its 21-38 day’s exponential moving averages on the daily time frames, which is positive for the prices in the short to medium term. The Technical indicator Ichimoku cloud suggests that the price is trading above the conversion and base line, which points out positive strength. The Daily strength indicator RSI (14) is in bullish mode and trading above the 60 level. Hence based on the above Technical Setup a Long position can be created in JAMNAAUTO with an SL of ₹116.70 for an Upside target of ₹127.10.

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.