PremiumDay trading guide for today: Following weak global cues on disappointing US data that renewed fear of global recession, Indian stock market snapped its two days rally and ended lower on Thursday session. NSE Nifty ended 57 points lower at 18,107, BSE Sensex went off 187 points and closed at 60,858 while Bank Nifty finished 129 points lower at 42,328 levels. Stocks from metal, oil & gas sector outperformed other sector stocks on hopes of Chinese reopening. Broad market indices fell less than the Nifty even as the advance-decline ratio fell to 0.68:1.
According to stock market experts, the upside breakout of triangle pattern is still intact until Nifty closes below 18,000 mark. At the same time, a sustainable move above 18,250 levels is likely to bring bulls into action. Nifty on the weekly chart is placed between broader high low range of 18,200 to 17,800 levels.
Unveiling intraday trading tips for Friday session, Nagaraj Shetti, Technical Research Analyst at HDFC Securities said, "The market has shifted into a consolidation after an upside bounce and there is a possibility of further range movement or minor weakness in the next 1-2 sessions before showing upside bounce from the lows. Immediate support for NSE Nifty is placed at 18,000 to 17,950 levels."
"The negative sentiment from the US. markets led to a negative opening for our markets. But the impact was limited as the Asian markets had not reacted much and hence, our market did not witness any sharp correction," said Ruchit Jain, Lead Research at 5paisa.com.
Ruchit Jain went on to ad that Nifty has given a breakout from a consolidation phase this week and hence, declines towards the support are now likely to witness buying interest. The FII’s have covered their short positions in last couple of sessions which was the major factor behind our market's underperformance recently. Their ‘Long Short Ratio’ has now increased to around 50 per cent which was about 38 per cent. Hence, the chart structure as well as data are not negative now.
Click here for latest stock market news
On advice to intraday traders for Friday session, Ruchit Jain said, "Until we see any short formations again, traders should trade with a positive bias and look for buying opportunities on such intraday declines. The momentum readings are in buy mode for Nifty while still showing sideways momentum for the Bank Nifty index."
Sharing intraday stocks for today, stock market experts — Sumeet Bagadia, Executive Director at Choice Broking; Anuj Gupta, Vice President — Research at IIFL Securities and Ganesh Dongre, Senior Manager - Technical Research at Anand Rathi — listed out 6 shares to buy on Friday.
1] Interglobe Aviation or IndiGo: Buy at CMP, target ₹2160 to ₹2200, stop loss ₹2080
2] Aditya Birla Capital: Buy at CMP, target ₹155 to ₹158, stop loss ₹142
3] HDFC Bank: Buy at CMP, target ₹1700, stop loss ₹1598
4] Shree Renuka Sugars: Buy at CMP, target ₹64, stop loss ₹49
5] Oil India Limited or OIL: Buy at ₹234, target ₹240, stop loss ₹228
6] Petronet LNG: Buy at ₹223, target ₹234, stop loss ₹214.
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.