Day trading guide for today: 4 stocks to buy or sell on Thursday — 9th March
3 min read . Updated: 09 Mar 2023, 05:53 AM IST
Premium- Day trading guide for today: Immediate support for NSE Nifty is placed at 17,600 levels, believe stock market experts
Day trading guide for today: After opening lower on the back of weak global cues, Indian stock market recovered from the intraday low to close near the day highs. NSE Nifty finished 42 points higher at 17,754 while BSE Sensex surged 123 points and closed at 60,348 levels. Nifty Bank index ended 226 points higher at 41,577 mark. Nifty Madcap and Nifty Small-cap Indices gained 0.51 per cent and 0.21 per cent respectively. Advancing shares outnumbered the declining share in the ratio of 1.27:1. ITC contributed the most to the index gains.
According to stock market experts, a long bull candle was formed on the daily chart with long lower shadow. Technically, this pattern indicates a buy on dips opportunity in the market. After reacting down from a crucial overhead resistance of 17,800 levels (opening downside gap of 22nd Feb and weekly 10 and 20 period EMA) on Monday, the market subsequently showing upside bounces post small correction could be a positive indication.
Day trading guide for Thursday
On outlook for Nifty today, Nagaraj Shetti, Technical Research Analyst at HDFC Securities said, "The market could make an attempt to retest the key resistance again around 17,800 levels in the short term. Such repeated testing of the hurdle could eventually result in decisive upside breakout of the hurdle in the near term. Immediate support for NSE Nifty is placed at 17,600 levels."
Unveiling day trading strategy, Ruchit Jain, Lead Research at 5paisa.com said, "Technically, the momentum readings on both Nifty and Bank Nifty are in ‘Buy Mode’ which is a positive sign. The FII’s have started short covering in the F&O segment wherein they have covered some of their short positions in last couple of trading sessions and their Long Short Ratio has improved from 15 percent to around 26 percent now. They have been net buyers in the cash segment too in this month so far. With the momentum changing, we believe the price wise corrective phase is over for the market and it should be now seen as a ‘Buy on dip’ market where declines should be used as a buying opportunity."
Nifty call put option data
Speaking on Nifty call put ratio, Rahul Ghose, Founder & CEO at Hedged said, "The Nifty Index going into tomorrow's expiry is seen having the highest open interest at the put side of the 17,600 level and the highest open interest on the call side is seen at the 17,800 strike. Traders have created short straddles at 17,700 level for tomorrow's expiry, which is giving a credit of only INR 85-90 at today's close. This might not be the best way to play the Nifty Index for tomorrow as in the last half-an-hour, the market has already moved the index substantially and even a small gap-up on Thursday can cause trouble to these short positions."
Rahul Ghose went on to add that a better way to play tomorrow's expiry would be to enter the ITM call side straddle with a bought Put leg, as the bias is slightly towards the upside. This position will also help in the case of a downtick, as the bought put leg would be there to protect any loss.
Nifty Bank call put option data
Expecting uptrend in Nifty Bank index to continue, Rahul Ghose said, "The Bank Nifty Index, which was looking strong through the day, has its next OI resistance only at 42,000 for tomorrow’s expiry, indicating room for the upside."
Day trading stocks to buy today
On intraday stocks for today, stock 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] Bajaj Auto: Buy at CMP, target ₹3900 to ₹3950, stop loss ₹3725
2] UltraTech Cement: Buy at CMP, target ₹7350 to ₹7400, stop loss ₹7190
Ganesh Dongre's stock picks for Thursday
3] Bata India: Buy at ₹1430, target ₹1475, stop loss ₹1399
4] Oberoi Realty: Buy at ₹906, target ₹940, stop loss ₹890.
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.