Day Trading Guide: 2 Stock Picks For Today By Siddhartha Khemka of Motilal Oswal

Yesterday, the Nifty fluctuated between gains and losses before closing with a little loss of 27 points at 19794. FIIs sold equities worth Rs. 1863 crore, while DIIs invested Rs. 1532 crore. The fact that August IIP was reported at a 14-month high above 10% on Thursday and that September inflation in India dropped to a 3-month low of 5.04% while Gift Nifty is presently trading 0.12% higher all indicate a positive start for the domestic market.

Market Outlook Today

Siddhartha Khemka Head - Retail Research and Chandan Taparia-Derivatives & Technical Analyst of Motilal Oswal said, "Expect gap down opening in the domestic markets after Infosys announced lower than expected FY24 earning guidance, September inflation in US reported marginally above estimates, surging US 10-year bond yield and decline in the Asian and US market, which have a negative impact on the market. Gift Nifty is down 0.7% on account of IT major Infosys ADR decline nearly 7%.

However, it will be a good buying opportunity at a lower level after reporting solid domestic economy data. September inflation in India fell to a 3-month low at 5.04% and August IIP reported a 14-month high to above 10%. Both economic data indicate that the domestic economy is moving upward trend. It is expected that the RBI will take a softened stance to hike interest rates on account of cooling down the inflation print. Cooling down domestic inflation print may be positive on Banks, NBFC, Auto and real estate stocks."

Nifty Outlook Today

"Nifty immediate support at 19750 then 19650 zones while resistance at 19950 then 20050 zones. Now it has to hold above 19800 zones, for an up move towards 19950 then 20050 zones whereas supports are placed at 19750 then 19650 zones," said the analysts.

Bank Nifty Outlook Today

"Bank Nifty support at 44250 then 44000 zones while resistance at 44750 then 45000 zones. Now it has to continue to hold above 44444 marks for an up move towards 44750 then 45000 zones while on the downside support is seen at 44250 then 44000 levels," said the research analysts of Motilal Oswal.

Stocks To Buy Today

Siddhartha Khemka Head - Retail Research and Chandan Taparia-Derivatives & Technical Analyst of Motilal Oswal have picked up the below stocks for day trading on 13th October.

Technical Pick:

Buy at CMP of Rs 450, stop-loss: Rs 440, target: Rs 470, duration: 2 to 3 days.

ITC has formed a base near the 430-435 band and inched higher. It has given a falling supply trend line breakout on the daily chart and managed to close above its crucial 50 DEMA. Buying is visible across the FMCG space which may support the ongoing up move. The momentum indicator RSI has also given a breakout and supports are gradually shifting higher.

Fundamental Pick:

Angel One

CMP: INR2104, Buy

The company's net revenue grew 48% YoY and 30% QoQ to INR6.7b (in line with our estimate). 40% YoY Growth in gross broking business was driven by the F&O segment (up 45% YoY and up 32% QoQ) at INR 6.2b and the cash broking segment (up 19% YoY, up 43% QoQ and 27%) at INR 0.8b.

PAT grew 42% YoY to INR3b, beating our estimates by 7%. The quarterly gross client acquisition run rate stood at 2.1m, up 60% QoQ. The number of orders stood at 338m in 2QFY24, up 36% QoQ. This was broadly in line with estimates while the Board has declared the second Interim Dividend for FY24 at the rate of INR 12.7 per share, said the research analysts of broking firm Motilal Oswal.

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.