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Day trading guide for today: 4 stocks to buy or sell today — 16th December | Mint – Mint

Day trading guide for today: Following global sell o0ff on account of US Fed dropping a hint that the rate hike cycle is not going to end soon, Indian stocks reversed its two days uptrend on Thursday session. Nifty 50 index lost 245 points and closed at 18,414, BSE Sensex crashed 878 points and finished at 61,799 while Nifty Bank index ended 550 points lower at 43,498 levels.

IT stocks came under selling pressure following weakness in Nasdaq while cyclical sectors like metals and realty also feel the sell off heat. Broad market indices fell a little less although profit taking was seen across the market and advance decline ratio fell to 0.48:1.

According to stock market experts, a long bear candle was formed on the daily chart on Thursday, post small upside bounce of few sessions. Technically, this pattern indicates a sharp downward reversal in the market after the formation of lower top on Wednesday at 18,696 levels. This is not a good sign and indicates more weakness in the short term.

Stock market today: Day trading strategy for Friday

Unveiling intraday trading tips for Friday session, Nagaraj Shetti, Technical Research Analyst at HDFC Securities said, “The short term trend of Nifty seems to have reversed down after a small pull back rally recently. The immediate support for Nifty is placed at 18,350 levels and a move below this support could drag index down to around 18,150 to 18,100 levels in the short term. Immediate resistance for Nifty 50 index is placed at 18,550 levels.”

Asked about Bank Nifty outlook, Santosh Meena, Head of Research at Swastika Investmart said, “The leader of the current bull market, Bank Nifty, witnessed an evening star candlestick formation and closed below its 9-DMA for the first time in two months. A 20-DMA of 43,200 will act as an immediate support; below this, there is a risk of profit booking, where 42,625 will be the next support level.”

Nifty call put option data

On Nifty call put ratio, Shilpa Rout, Derivatives Lead Analyst at Prabhudas Lilladher said, “Nifty weekly expiry option chain witnesses PE writers adding their positions of over 20 lakh shares OI at various levels till 17500PE, with max fresh additions happening at 18400PE – over 17 lakh shares. CE writers maximum exposures lies at 18600/19500 strikes- each with nearly over 55 lakh shares OI overall. PCR_OI at 18500 is nearly 1, which should act as an immediate support.”

Bank Nifty call put option data

“Bank Nifty option chain on weekly basis reflects 43000PE holding the most exposure of 10 lakh shares OI, with fresh additions aggressive at 41000/42000 strikes on the Put side. CE writers active at 44000 strike – over 25 lakh shares OI, thus the data built-up reflects on the upside resistance now at 44000 zones,” Parekh said.

Day trading stocks to buy or sell today

Sharing intraday stocks for today’s session, share market experts — Sumeet Bagadia, Executive Director at Choice Broking and Ganesh Dongre, Senior Manager — Technical Research at Anand Rathi — recommended 4 stocks to buy today.

Sumeet Bagadia’s intraday stocks for today

1] Sun Pharma: Buy at CMP, target 1020 to 1040, stop loss 980

2] Britannia: Momentum buy at CMP, target 4550, stop loss 4390

Ganesh Dongre’s stocks picks for stock market today

3] Axis Bank: Buy at 935, target 960, stop loss 918

4] Cyient: Buy at 823, target 860, stop loss 805.

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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