Day trading guide for today: Five buy or sell stocks for Wednesday—November 22
- Day trading stocks: Market experts have recommended five stocks to buy today —MFSL, Titan Company, Sun Pharma, Cummins India, and NHPC.
Day trading guide for today: Domestic equity benchmarks Nifty 50 and the Sensex closed with decent gains in the previous session, on gains led by select heavyweights, including HDFC Bank, Reliance Industries, and ICICI Bank, amid mixed global cues.
Nifty 50 closed 89 points, or 0.45 per cent, higher at 19,783.40. Sensex ended at 65,930.77, up 276 points, or 0.42 per cent. Mid and small caps also ended in the green but they underperformed the benchmarks.
The frontline indices are up over 3 per cent each in November so far, despite volatility, on hopes that the US Fed is done with rate hikes as recent data showed inflation easing and the job market cooling in the US.
Day trading guide for the stock market today
On the outlook for Nifty today, Ajit Mishra, SVP - Technical Research, Religare Broking Ltd said, ‘’We need participation from the banking majors to overcome the hurdle at 19,850 in Nifty else the consolidation phase will continue.''
‘’Meanwhile, upbeat global cues, especially from the US markets, would continue to aid the positive tone. Traders should align their positions accordingly and stay focused on stock selection,'' added Mishra.
‘’Technically, Nifty needs to reclaim the 19,889 mark to unleash fresh upside. Nifty’s biggest supports are placed at the 19,471 mark,'' said Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd.
On the outlook for Bank Nifty, Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities said that the index persisted in a sideways momentum, characterized by lower volumes, and remains near its 20-day moving average (20DMA).
‘’Immediate resistance on the upside is situated at 44,000, marked by higher call writing, and a breakthrough above this level is expected to initiate short-covering moves. On the downside, support is established at 43,300, and a breach below this level may pave the way for a decline towards 42,800,'' added Shah.
Global Cues
US Federal Reserve officials agreed at their last policy meeting they could take a cautious approach to raising interest rates moving forward, and would only need to move them higher if data showed insufficient progress in lowering inflation.
"All participants agreed that the (policy-setting Federal Open Market Committee or FOMC) was in a position to proceed carefully," according to minutes of the October 31-November 1 session that were released on Tuesday.
"Participants noted that further tightening of monetary policy would be appropriate if incoming information indicated that progress toward the Committee's inflation objective was insufficient," the minutes said.
US stocks edged lower after the release of Fed minutes. The Dow Jones Industrial Average fell 75.63 points, or 0.22 per cent, to 35,075.41, and the S&P 500 lost 10.25 points, or 0.23 per cent, to 4,537.13.
Stocks to watch today
Shares of Maruti Suzuki India will be in focus today after the leading car manufacturer announced post-market hours on Tuesday that the company's board will consider the issuance of preferential allotment of shares to Suzuki Motor Corp on November 25.
Shares of Bharat Petroleum Corp Ltd (BPCL) announced that the oil marketing company (OMC) will consider declaring an interim dividend at its board meeting on November 29.
F&O Ban List
A total of 11 stocks --BHEL, Chambal Fertilisers and Chemicals, Delta Corp, Hindustan Copper, Indiabulls Housing Finance, India Cements, Manappuram Finance, MCX, NMDC, RBL Bank, and Zee Entertainment Enterprises --have been put under the ban for trade on Wednesday, November 22, under the futures and options (F&O) segment by the National Stock Exchange (NSE). No fresh positions are allowed for any of the F&O contracts in the particular stock when placed under the F&O ban period by the stock exchanges.
Day trading stocks for today
On intraday stocks for today, stock market experts — Ganesh Dongre, Senior Manager - Technical Research at Anand Rathi, Sumeet Bagadia, Executive Director at Choice Broking, and Kunal Kamble, Senior Technical Analyst, Bonanza Portfolio Ltd— recommended five stocks to buy today.
Sumeet Bagadia's intraday stocks for today:
1.Max Financial Services Ltd (MFSL): Buy MFSL at ₹981 with a stop loss of ₹950 at a target price of ₹1,040
MFSL is currently trading at ₹981, exhibiting a notable price breakout of a rounding bottom pattern, accompanied by robust volume, indicating a bullish momentum in the stock. Furthermore, the stock is trading above crucial Exponential Moving Averages (EMAs), including the 20-day, 50-day, 100-day, and 200-day EMAs, reinforcing its bullish stance and suggesting the potential for further upward price movement.
The Relative Strength Index (RSI) is presently at 64.7 and is on an upward trajectory, signaling a growing buying momentum. Additionally, the Stochastic Relative Strength Index (Stoch RSI) has demonstrated a positive crossover from the oversold region, adding to the bullish sentiment. This confluence of technical indicators suggests that MFSL may have the potential to reach a target price of ₹1,040 in the near term.
To effectively manage risk, it is advisable to implement a stop-loss (SL) at ₹950 to safeguard investments in the event of an unexpected market reversal. In summary, considering the technical analysis and prevailing market conditions, MFSL appears to present an attractive buying opportunity for those targeting a ₹1,040 price objective, provided that prudent risk management measures are in place.
2.Titan Company: Buy ‘Titan’ at ₹3,394 with a stop loss of ₹3,350 at a target price of ₹3,478
Titan's current market positioning is noteworthy, as it stands at 3,394 and has successfully closed above its short-, mid-, and long-term moving averages (50, 100, and 200 EMA). This confluence indicates a robust trend, underlined by the Relative Strength Index (RSI) at 67, suggesting a healthy momentum without veering into overbought territory. The Average Directional Index (ADX) adds another layer to the analysis, registering a moderately strong reading of 26, indicative of a sustained trend.
One particularly positive development is Titan's breakout at 3,350, further affirming its strength in the market. In light of these indicators, a strategic entry point is identified at the current level of 3,394, with a well-defined stop loss at 3,350. This not only provides a prudent risk management mechanism but also aligns with the recent breakout point. The target price of 3,478 offers a realistic upside potential, in line with the prevailing bullish sentiments.
In conclusion, the combination of Titan's strong technical indicators, including moving averages, RSI, and ADX, along with the breakout at 3,350, presents a compelling opportunity for investors. The proposed buy recommendation at 3,394, with a stop loss at 3,350 and a target price of 3,478, reflects a calculated and strategic approach to capitalizing on the current market dynamics.
Ganesh Dongre's intraday stocks for today:
3.Sun Pharmaceutical Industries: Buy Sun Pharma at ₹1,200 with a stop loss of ₹1,180 at a target price of ₹1,225
In the short-term trend, the stock has a bullish reversal pattern, technically retrenchment could be possible till 1,225 so, holding the support level of 1,180 this stock can bounce toward the 1,225 level in the short term, so the trader can go long with a stop loss of 1,180 for the target price of 1,225.
4.Cummins India: Buy Cummins India at ₹1,872 with a stop loss of ₹1,855 at a target price of ₹1,910
On the short-term chart, the stock has shown a bullish reversal pattern, so holding the support level of 1,855. this stock can bounce toward the 1,910 level in the short term, so the trader can go long with a stop loss of 1,855 for the target price of 1,910
Support - 19,400/19,500
Resistance - 19,800/19,850
Kunal Kamble's intraday stocks for today:
5.NHPC: Buying range: ₹54.20-54.40, Target ₹60.60; Stop Loss ₹51.30
On a daily time, frame NHPC has given a breakout of the Falling wedge pattern which indicates a positive trend. Price trading above the Fast and Slow EMA is indicating an uptrend. DI+ is trading above DI- indicates uptrend whereas ADX trading above DI- indicates strength in the upward move. Hence based on the above technical setup a long position can be created for a TP of 60.60 with an SL of 51.30.
6.MFSL: Buying Range: ₹979.25-980; Target ₹1,057 |Stop Loss ₹940
MFSL on daily time frame has given a classical breakout of Rectangle Pattern on the upside indicating a continuation of the uptrend. The price is trading above the Slow (50) and Fast (100) EMA indicating an uptrend. RSI has given a breakout of Double bottom formation supporting the trend. Hence based on the above technical setup a long position can be created for a TP of 1,057 with an SL of 940.
Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before taking any investment decisions.
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