Intraday Stocks To Buy: Day Trading Picks By Sumeet Bagadia On Monday, 8th July

The market saw gains for the fifth straight week, continuing its longest winning run since December 2023. The midcap index saw a spike of more than 2%, while the Sensex and Nifty indices also saw 1% advances. The key indices are reaching record highs every week, indicating that the Indian market's surge is continuing without signs of slowing down. With the US and UK indices wrapping up at (+0.66%) 39,375 and (+0.49%) 8,203, respectively, the global market closed the week on an upward trajectory. Major domestic and global economic data, including India's CPI (YoY) (June), India's Industrial Production (YoY) (May), Industrial Production (YoY) (May), Fed Speech, UK GDP data, US Core CPI Inflation, Initial Jobless Claims, and US PPI data, will influence the market outlook. This week also marks the start of the Q1 earnings season on the domestic front. Major companies like TCS and HCLTECH are scheduled to disclose their Q1 results on July 11 and July 12, 2024, respectively. Investors will also be eagerly watching India's union budget in July, which is a significant event starting on 23rd July.

Nifty Outlook

Pravesh Gour, Senior Technical Analyst at Swastika Investmart Ltd said, "Nifty is showing a smooth vertical ride, and there are no signs of weakness. However, there are some momentum indicators that signal overbought territory. 24300-24500 is an immediate resistance zone; above this, 24725-25000 are the next target levels. On the downside, 24000 is an immediate support level, while 23700 and 23350 are the next support levels."

"The Nifty currently has significant support around the 24,100 level. A breach of this support could lead to a further decline towards 23800 levels. On the upside, the index encounters strong resistance near 24,400, close to its historical peak. A close above 24,450 may push the Nifty towards 24,600 levels. Consolidation is expected with resistance at 24,400-24,500 and immediate support at 24,200. Sustaining above 24,250 is crucial for further gains towards 24,500 and 24,600 levels," commented Arvinder Singh Nanda, Senior Vice President, of Master Capital Services Ltd.

Bank Nifty Outlook

"Banknifty is breaking out, and there is still room for further strength where 53000-53500 is an intermediate resistance zone and 54500-55000 is the next resistance area. 51900 is an immediate support level, while 51000 is the next support level. On the derivatives front, the long exposure of FIIs in index futures stands at 84%, whereas the put-call ratio is sitting at the 1.20 mark, are also showing overbought territory," Pravesh Gour added.

"Bank Nifty recently broke out of a rising channel pattern two weeks ago and has since displayed consecutive bullish weekly candles, maintaining its position comfortably above the breakout level. On the upside, the index encounters strong resistance near 53200, close to its historical peak, while 52000 will act as an immediate support zone. A close above 53,200 could ignite further buying momentum, potentially pushing the index towards the significant resistance level of 53,800," predicted Arvinder Singh Nanda.

Stocks To Buy Today

During intraday trading on Monday, July 8, Choice Broking executive director Sumeet Bagadia recommended buying a couple of stocks based on technical analysis.

V Guard Industries

Buy VGUARD in cash @ Rs 476.5, stop-loss: Rs 460, target: Rs 499

VGUARD daily chart analysis offers a favourable view for the following week, indicating a steady higher advance. Notably, the stock has produced a notable higher high and higher low pattern, and the company's recent upward swing has effectively violated the neckline, establishing a new week high. This breakthrough indicates the possibility of a significant follow-through upward increase in the stock price.

Adding to the positive momentum, there has been an increase in trading volume, indicating growing market interest. The stock formed a strong bullish candle signifying a potential continuation of the uptrend following and the daily strength indicator RSI (14) is moving upwards and positioned above its reference line indicating a positive bias. Furthermore, VGUARD is currently trading above its crucial 20-day, 50-day, and 100-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 VGUARD in cash at CMP of 476.5 for the target of 499 with a stop loss of 460.

Trent

Buy TRENT in cash @ Rs 5619.9, stop-loss: Rs 5414, target: Rs 5899

TRENT daily chart analysis reveals a notable shift in market dynamics, transitioning from a period of minor declines and sideways consolidation to a promising upside bounce. The current trading session reflects an up move, potentially signalling an upside breakout from a narrow range momentum. This development aligns with a positive short-term trend, further reinforced by a surge in trading volume.

Key technical indicators, such as the Relative Strength Index (RSI), underscore the stock's positive momentum. The RSI not only exhibits positive signals but the stock is also trading above crucial moving averages-specifically, the 20-day, 50-day, and 200-day Exponential Moving Averages (EMA). This convergence suggests sustained strength in TRENT price action.

Volume analysis further substantiates the credibility of the up move, with a pronounced increase accompanying the positive trend.

The comprehensive evaluation of TRENT daily chart implies the existence of a broader bullish pattern in the stock price. This, in turn, presents a compelling long-trading opportunity for investors seeking to capitalize on the anticipated upward trajectory.

Based on the above analysis we recommend buying TRENT in cash at CMP of 5619.9 for the target of 5899 with a stop loss of 5414.

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.