5 Swing Trading Stock Picks By VLA Ambala of SMT For Monday, 23rd Oct

Recent data indicates that India has achieved record-high food grain production, which has the potential to effectively manage food inflation. As a result, it is anticipated that the Monetary Policy Committee (MPC) will opt for an extended period of inaction, a development that bodes well for banking stocks.

In a highly anticipated speech, Federal Reserve Chairman Jerome Powell acknowledged recent indications of moderating inflation while affirming the central bank's unwavering commitment to its 2 per cent mandate, remarked VLA Ambala.

Conversely, the U.S. 10-year yield, currently hovering at around 5 per cent, remains a challenging factor for equity markets. The volatile situation in West Asia, albeit presently overlooked by the market, may introduce additional short-term hurdles. Foreign Portfolio Investors (FPIs) are expected to continue selling, creating downward pressure on banking stocks, which constitute a substantial portion of their Assets Under Management (AUM). This situation presents an opportunity for local investors to acquire these stocks at reasonable valuations.

The recent surge in the 10-year U.S. benchmark yield to 5 per cent has amplified borrowing costs globally and added stress to asset valuations. On a related note, the Bank of Japan took action in the Japanese government bond (JGB) market as the 10-year JGB yield reached a ten-year high.

India, along with other global economies, is grappling with high inflation and making efforts to control it. While the benchmark index is striving to maintain its low points, global uncertainties could impact our markets in the short term. Investors and traders need to exercise extra caution in the coming days and be ready to "Buy the Fear" if luckily you get this opportunity.

Nifty Outlook For Monday

Nifty had a significant gap down opening on Friday but managed to recover some points, although it still closed below its previous day's closing level. A strong competition is underway between Domestic Institutional Investors (DII) and Foreign Institutional Investors (FII). Currently, FIIs are in a net selling mode, withdrawing funds from our markets, which is a concern for all market participants. However, DIIs have been net buyers daily, which is a positive sign.

There was substantial selling pressure in the market, and this trend may continue if prices remain above yesterday's low levels. This trend applies to all benchmark indices.

Nifty has closed below its yesterday's and intraday opening price. Intraday support levels for Monday are at 19480/19430/19380. These levels could be buying opportunities for those looking to buy on dips. Possible intraday resistance points for Nifty50 are at 19590/19650.

Bank Nifty Outlook For Monday

On Friday, Bank Nifty traded within a range of almost 300 points and closed below its opening price, forming a deep bearish candlestick on the daily time frame. It trading below its Day EMA.

The nearest support levels for Bank Nifty are at 43550/43250/43140. On the other hand, considering its overall movement, major resistance levels for intraday trading are at 43830/44030/44150.

Intraday & Swing Trading Stocks For Monday

VLA Ambala, a SEBI Registered Research Analyst, has recommended five stocks for intraday and swing trading on Monday, 23rd October.

Dhunseri Ventures

Consider buying DVL above the range of 290/305 for a target range of 330 to 400, with a stop loss at 265.

GRM Overseas

Consider buying GRMOVER around 200-205, with a target range of 235 to 290 and a stop loss at 160. The price is trading above an important EMA, offering significant support.

Zee Entertainment Enterprises

Buy ZEEL around 250/260 and hold for a mid-term target ranging from 270 to 340, with a stop loss at 245.

Dhunseri Investments

DHUNINV seems attractive for buying in the range of 950/1010 with a target range of 1,200 to 1,650 and a stop loss at 800. The price is trading above an important EMA, which could act as major support.

Aditya BSL Gold ETF

Accumulate more BSLGOLDETF in the range of 54 and hold for a short-term target of 58 to 70. It is trading near its breakout range, with a stop loss at 50

These recommendations are based on price movement, past behaviour, and technical analysis, as per VLA Ambala, a SEBI Registered Research Analyst.

Disclaimer

The recommendations made above are by market analysts and are not advised by either the author, nor Greynium Information Technologies. The author, nor the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.