Day trading guide for stock market today: Six stocks to buy or sell on 26 December

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“Nifty gained for second consecutive day after witnessing sharp fall on Wednesday. The index closed with gains of 94 points at 21349 levels. Majority of the sectors ended in green with buying seen in IT, Realty, Metals and Pharma. Rising bets on US Fed to cut interest rate early next year pushed the dollar and bond yields lower after US reported weaker-than-expected Q3 GDP growth at 4.9%. Thus, the underlying tone of the market remains positive. However, as we enter into holiday mood starting this weekend, we expect market to remain range bound with stock specific action next week,” said Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services Ltd.

Day trading guide for stock market today

On outlook for Nifty50, Kunal Shah, Senior Technical & Derivative Analyst at LKP Securities, said, “The Nifty index displayed volatile movements on the last day of the week but managed to close above the crucial level of 21300. The lower-end support for the index is positioned at 21200, presenting a buying opportunity on any dips toward this level. Sustaining above 21300 could pave the way for further upside momentum, targeting the 21500 level.”

On outlook for Bank Nifty today, Shah said, “The Bank Nifty index faced selling pressure on the last day but managed to hold the key support level of 47400. If the index fails to sustain above this support, it could witness further decline toward the 47100 levels. On the upside, the immediate resistance is at 47700, and a breakout above this level may trigger short-covering, pushing the index higher toward 48000/48200 levels.”

Stock Market today

On outlook  for  stock market today, “The ‘buy on dips’ strategy continues to drive investors during the subdued week. Mid and small caps remain in the limelight, benefiting from ease in oil prices and the anticipation of a potential rate cut in CY24, supported by slower-than-expected US GDP growth and weakness in the dollar, signalling early rate cuts. Realty and Auto sectors shine, while PSU banks outperform peers on account of improvements in balance sheets and profitability. Despite a premium valuation, the short-term positive trend persists, supported by a strong revival in FIIs buying & stock specific actions. Heading into the festive season and year-end, we can anticipate a range-bound trade scenario with limited data points.”

Nifty Call Put Option Data

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 21500 and 21600 strikes with total open interest of 164321 and 111832 contracts respectively. Major Call open interest addition was seen at 21500 strike which added 33009 contracts in open interest,” adding, “ Major total Put open interest was seen at 21200 and 21000 strikes with total open interest of 123489 and 199091 contracts respectively. Major Put open interest addition was seen at 21400 strike which added 52416 contracts in open interest.”

Bank Nifty Call Put Option Data

On Bank Nifty Call Put Option Data, Barve further added, “Major total Call open interest was seen at 48000 and 48500 strikes with total open interest of 194895 and 131954 contracts in open interest. Major Call open interest addition was seen at 48200 strike which added 33480 contracts in open interest,” adding, “Major total Put open interest was seen at 47500 and 47000 strikes with total open interest of 123691 and 141354 contracts respectively. Major Put open interest addition was seen at 47100 strike which added 12222 contracts in open interest.”

Day trading stocks for 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 and Kunal Kamble, Senior Technical Analyst at Bonanza Portfolio — recommended six stock to buy today.

Sumeet Bagadia’s intraday stocks for today

  1. EICHERMOT: Buy at 4006, target 4185, stop loss 3905

EICHERMOT, currently trading at 4006, has recently displayed a reversal pattern, finding support as evidenced by the formation of a morning star candlestick at the bottom, accompanied by significant trading volume. The prevailing price signals robust bullish momentum, with expectations of a sustained upward movement towards the 4185 level. Conversely, substantial support is evident near 3905.

Furthermore, EICHERMOT is trading above key Exponential Moving Averages (EMAs), including the 20-day, 50-day, 100-day, and 200-day EMAs, indicating robust bullish momentum and suggesting the potential for further upward price movement. The Relative Strength Index (RSI) is presently at 55.94, showing an upward trajectory and indicating increasing buying momentum.

Additionally, the Stochastic Relative Strength Index (Stoch RSI) exhibits a positive crossover. These technical indicators collectively suggest that EICHERMOT may have the potential to reach a target price of 4185 in the near term.

To manage risk effectively, it is advisable to set a stop-loss (SL) at 3905 to safeguard the investment in the event of an unexpected market turn. A prudent strategy would be to consider buying on dips at levels of 3950.

Overall, considering the technical analysis and current market conditions, EICHERMOT presents a promising buying opportunity for those aiming for a 4185 price target, provided that prudent risk management measures are in place.

2. RHIM: Buy at 808, target 833, stop loss 790

The daily chart analysis of RHIM reveals a promising outlook for the upcoming week, signalling a sustained upward movement. Notably, the stock has formed a significant inverse head and shoulders pattern, and the recent upward swing has successfully breached the neckline, establishing a new 52 week high for the stock. This breakout suggests the potential for a substantial follow-through upward movement in the stock price.

Adding to the positive momentum, there has been an increase in trading volume, indicating growing market interest. The daily Relative Strength Index (RSI) supports this positive sentiment. Furthermore, RHIM is currently trading above its crucial 20-day, 50-day, and 200-day Exponential Moving Average (EMA) levels, reinforcing the bullish trend. Given the overall chart pattern, the analysis suggests a favourable long trading opportunity for investors.

Based on the above analysis we recommend buying RHIM in cash at CMP of 808 for the target of 833 with a stop loss of 790.

Ganesh Dongre’s stocks to buy today

3. BharatForge: Buy at 1203, target 1220, stop loss 1190

In the short-term trend, the stock has a bullish reversal pattern, technically retrenchment could be possible till 1220 so, holding the support level of 1190 this stock can bounce toward the 1220 level in the short term, so the trader can go long with a stop loss of 1190 for the target price of 1220.

4. Ibulhsgfin: Buy at 211, target 218, stop loss 206

On the short-term chart, he stock has shown a bullish reversal pattern, so holding the support level of 206. this stock can bounce toward the 218 level in the short term, so the trader can go long with a stop loss of 206 for the target price of 218.

Kunal Kamble’s buy or sell stocks

5. Patanjali Food: Buy at 1610-1621.65, target 1885, stop loss 1490

Classical Technical Rising Wedge Pattern is forming on a Daily time frame in Patanjali Food. Proper Factual nature of short term pattern example can be witnessed. The security has taken support of the Slow EMA (200) indicating a strong support, whereas the Fast (50) and Slow EMA is still trending upward which is indicating an uptrend.

On the volume front the rise in volume during positive price action is indicating buyers are keen to buy the security at current level.

On the momentum front RSI is trading in higher range which indicates uptrend. Hence based on above technical setup a long position can be created for a TP of 1885 with a SL of 1490.

6. Lauras Lab: Buy at 410-414, target 460, stop loss 397

Lauras Lab has given a breakout of Symmetric Pattern on the upside indicating a positive move with volume spike in today’s session confirming the trend, with price trading above the Conversion and Base Line also conforming the upward move. Based on above technical setup one can initiate a long position in Laurus Lab with an SL of 397 with a target price of 460.

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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Published: 26 Dec 2023, 06:02 AM IST

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