Day trading guide for today: Following buying in frontline stocks on end of rate hike cycle buzz, Indian stock market ended higher for sixth straight session on Tuesday. Participatory rally extended for yet another session on Tuesday, which helped key benchmark indices and broad market indices to hit new life-time high on the previous session.
Nifty 50 index climbed to a new peak of 20,864 levels, BSE Sensex touched new life-time high of 69,381 whereas Bank Nifty index hit a new high of 47,230. Broad market indices also continued its partipation in current rally. Small-cap index hit a new record high of 41,317 while mid-cap index touched a new peak of 35,216 levels.
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“Nifty continued its winning streak for sixth consecutive day and close with gains of 168 points (+0.8%) at 20855 levels. Metals, Banking, Oil & Gas and Consumer Durables were among top gainers in the sector. Rally was seen in Adani Group stocks after Bloomberg reported US agency concluded accusations against conglomerate weren’t relevant. Upstream Oil companies were also in focus after OPEC+ extended its production cut to Q1CY24. The global and domestic markets made a smart comeback as investors remained convinced that rate-hike cycle has ended. This coupled with strong institution flows and economic data added to the positivity. FIIs have remained net buyers to the tune of ₹17133crs in the last eight trading session,” said Siddhartha Khemka, Head – Retail Research at Motilal Oswal.
Day trading guide for stock market today
On outlook for Nifty 50 today, Nagaraj Shetti, Technical Research Analyst at HDFC Securities said, “The underlying trend of Nifty 50 is sharply positive. A decisive move above the immediate resistance of 20,910 levels (61.8% Fibonacci projection), the Nifty is expected to reach towards the next upside target of 21,550 (78.6% Fib. projection, taken from the bottom of March 23 to top of Sept 23 and to bottom of Oct 23 – As per weekly chart). Immediate support for Nifty today is placed at 20,710 levels.”
On outlook for Bank Nifty today, Ashwin Ramani, Derivatives & Technical Analyst at SAMCO Securities said, “Bank Nifty gave a higher close for the third consecutive day to close 581 points higher at 47,012. Put writers were seen creating pressure on the call writers at the maximum call open interest strike of 47,000 in Bank Nifty. The option activity at 47,000 Strike will provide cues about future direction of Bank Nifty.”
On triggers for stock market today, Siddhartha Khemka of Motilal Oswal said, “Investors will take cues from US Service PMI and Jobs data released late night.”
RBI MPC meeting in focus
Advising intraday traders to remain cautious for next few sessions, Sheersham Gupta, Director & Senior Technical Analyst at Rupeezy said, “Despite a broad-based rally, the fear gauge India VIX is also going up. Traders are advised caution for the next two days until the RBI’s Monetary Policy Committee (MPC) concludes. The market is already overheated and a policy change or an unfavorable commentary may elicit a sharp reaction from the market.”
Nifty Call Put Option data
Speaking on Nifty Call Put Option data, Chinmay Barve, Head of Technical and Derivative Research at Profitmart Securities said, “Major total Call open interest was seen at 20900 and 21000 strikes with total open interest of 115593 and 216041 contracts respectively. Major Call open interest addition was seen at 21000 strike which added 84080 contracts in open interest,” adding, “As per data shown by nseindia.com at 3.30 pm on 05 December 2023, major total Put open interest was seen at 20800 and 20700 strikes with total open interest of 155695 and 168830 contracts respectively. Major Put open interest addition was seen at 20800 and 20700 strikes which added 139592 and 110811 contracts in open interest respectively.”
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 47200 and 47500 strikes with total open interest of 226201 and 212298 contracts respectively. Major Call open interest addition was seen at 47200 strike which added 177725 contracts,” adding, “As per data shown by nseindia.com at 3.30 pm on 05 December 2023, major total Put open interest was seen at 46800 and 46500 strikes with total open interest of 147346 and 161495 contracts respectively. Major Put open interest addition was seen at 46700 strike which added 123997 contracts.”
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 Virat Jagad, Technical Analyst at Bonanza Portfolio — recommended six buy or sell stocks for today.
Sumeet Bagadia’s stocks to buy today
1] Coromandel International: Buy at ₹1205.50, target ₹1300, stop loss ₹1160.
Coromandel share price is currently trading at ₹1205.5, 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.
2] Dabur India: Buy at ₹552, target ₹576, stop loss ₹540.
Dabur share price has multiple strong supports in a range of ₹548 to ₹540 levels which is also its 50 200 and 50 Day EMA levels. The stock is currently trading around ₹552. On the charts, a smaller resistance is visible near ₹565 levels. Dabur share price is also trading above all important moving averages and hence can approach the target price of ₹576.
Ganesh Dongre’s intraday stocks for today
3] State Bank of India or SBI: Buy at ₹610, target ₹625, stop loss ₹600.
In the short-term trend, SBI share price has a bullish reversal pattern, technically retrenchment could be possible till ₹625. So, holding the support level of ₹600 this stock can bounce toward the ₹625 level in the short term. Hence, the trader can go long with a stop loss of ₹600 for the target price of ₹625.
4] Havells India: Buy at ₹1317, target ₹1345, stop loss ₹1300.
On the short-term chart, the stock has shown a bullish reversal pattern, so holding the support level of ₹1300. This stock can bounce toward the ₹1345 level in the short term. Hence, a trader can go long with a stop loss of ₹1300 for the target price of ₹1345.
Virat Jagad’s buy or sell stocks
5] Aditya Birla Fashion or ABFRL: Buy at ₹241 to ₹242, target ₹254, stop loss ₹235.
After a long consolidation, Aditya Birla Fashion started trading in the consolidation range. In previous trading session bulls manage to close above the higher band and we observed breakout of the Double Bottom formation. On the Relative Strength Index, the RSI entered the overbought area, which supports the bullish stance.
On EMA front the prices is trading above major EMA’s which indicates positive trend. The Slow EMA (50) and Fast EMA (21) are following the trend and trending upward which is indicating a positive trend. In the coming period, we can see further buying interest if stock is manage to sustain above ₹240 which may result into the upside of ₹254 mark.
6] AU Small Finance Bank: Buy at ₹760.95, target ₹880, stop loss ₹740.
On a Daily time frame Asian Paint has given a breakout of the rounding bottom formation on the upside, indicating a positive trend in the stock. Buyers have to look more attractive to buy the security above ₹760 levels.
Momentum indicator RSI is indicating bullish sign as it is climbing towards the overbought zone. On the directional front, DI+ line is trading above DI- and ADX start moving in the north direction which is showing strength in the security.
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 decision.
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Omprakash Tiwary is a business writer who delves into the intricacies of the corporate world. With a focus on finance and economic landscape. He offers readers valuable insights into market trends, entrepreneurship, and economic developments.
