Intraday Trade Call: 4 Stock Picks By VLA Ambala On Wednesday, 24th Jan

The Indian Market faced intense selling in the recent trading session. Nifty broke its Key Support Range of 21500 to 21430. Selling pressure was fueled by the heavyweights like RIL and HDFC Bank. Consequently, the Banking Index traded in a wide range of 1680 and plunged nearly 2.26% in just a single day.

Nifty has delivered nearly 9% gains in just 3 Months, which is extraordinary for a benchmark index. Hence investors are booking profit as part of securing returns.

Valuation-wise, Nifty has shown a major rejection with 75 RSI at the daily time frame, and before this had touched it's all-time high at 22124 in January 2024. Currently, Nifty is trading at 44 RSI in the daily time frame and is likely to reach 25 very soon. It has breached its major support range and the next support is nearly 21800, while the current price is trading at 21230.

Media, PSU Banks, and Realty were the most losing sectors in the recent trading session. The Pharma sector was the only sector that managed to close the day on a positive note. Funds flow in Pharma Stocks indicated a potential upcoming trend similar to the trend that had been witnessed during the COVID-19 Pandemic. It is advised to be wise and hold onto good quality stocks, to capitalize in the upcoming dip.

The current market movement is also expected to provide many good stock picks soon.

Nifty has formed a very bearish candlestick pattern, also known as a "Bearish engulfing" at the weekly timeframe.

Following this, selling was seen on Tuesday, with Nifty falling by almost 1.50% intraday.

The Market Mood Index, suggests a fearful mood in the market and Nifty has broken its key support range and is currently trading at nearly 21500 to 21430. This is a critical "Make or Break" point, as post this a 2.5% to 4% wide trading range is possible in the upcoming 15 Days.

The Market Mood Index is pointing to around 36, indicating a surge in fear and caution in the market. Following the adage in the market, "Buy the Fear and sell the greed". However, it is advised to wait for some more days, as the current market movement is expected to provide "Dip buying Opportunities'' in several stocks. Long Term Investors are also advised to get ready with funds for upcoming potential buying opportunities.

Key Levels To Watch On 24th Jan 2024

The Nifty is currently in the support range of 21050 and 20800, and buyers might defend the momentum, preventing it from sliding down further. Notably, the Major resistance points for the intraday would be around 21330 and 21480. In the case of Bank Nifty, the intraday support levels are projected to be between 44500 and 44200, with resistance lying in the 45200 and 45550 range.

Stocks To Buy Today

Stocks to Buy or Sell Today: VLA Ambala (SEBI Regd. Research Analyst) has recommended four stocks to buy on - January 24, 2024. The recommended stocks for Intraday and Swing Trading are Sakhtisug, Shemaroo, Urjagloba, and Unienter. There's significant growth potential in these four stocks.

Sakthi Sugars

SELL - Rs. 27, TARGET - Rs. 25 to Rs. 23, STOP LOSS (SL) - Rs. 29.20

Shemaroo Entertainment

BUY - Rs. 160 to Rs. 175, TARGET - Rs. 190 toRs. 230, STOP LOSS (SL) - Rs. 143

Urja Global

BUY - Rs. 17.50 to Rs. 18, TARGET - Rs. 20 to Rs. 30, STOP LOSS (SL) - Rs. 16

Uniphos Enterprise

BUY - Rs. 162, TARGET - Rs. 180 to Rs. 250, STOP LOSS (SL) - Rs. 145

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.