Stocks To Buy Today: 2 Intraday Picks By Sumeet Bagadia On 18th October

The Indian benchmark indices began the day higher on Thursday, following global trends. After an early surge, Nifty saw selling pressure and ended the day down at 24,750. The index had begun the day on the upswing. Bank Nifty had a bullish opening but closed unfavourably at 51,289 after failing to break above the shooting star candle's peak and profit booking. The INDIA VIX, a measure of market volatility, increased by 2.56% and ended up at 13.39.

Nifty Outlook Today

"On the daily chart, Nifty formed a big red candle, indicating weakness. However, the index is approaching near the previous demand zone of 24,690. If Nifty sustains below this level, further downside could be likely, taking it towards 24,500-24,400 levels. On the upside, immediate resistance is positioned at the psychological level of 25,000, followed by the 21-day Exponential Moving Average (21-DEMA) at 25,185," commented Hrishikesh Yedve, AVP Technical and Derivatives Research at Asit C. Mehta Investment Interrmediates Ltd. (A Pantomath Group Company).

Bank Nifty Outlook

"Technically, on a daily scale, the index has formed big bearish candle, indicating weakness. On the downside, 100-day Exponential Moving Average (100-DEMA) is placed near 51,050 levels. Thus, 51,000-51,050 will offers good support for Bank Nifty in short term. If the index sustains below 51,000, further weakness could be expected," said Hrishikesh Yedve.

Stocks To Buy Today

As the Nifty index approaches critical support at 24,690, Sumeet Bagadia, executive director of Choice Broking, suggested buying two stocks on Friday, October 18. The view for the Nifty is still cautiously negative.

Latent View Analytics

Buy LATENTVIEW in Cash @ Rs 484.7, stop-loss @ Rs 468, target @ Rs 519

LATENTVIEW is currently trading at Rs 484.7, showing strong bullish momentum. The stock has broken out of a falling trendline pattern, typically signaling a potential bullish reversal from a key support zone. This technical setup is further supported by a noticeable increase in trading volume, indicating robust buying interest.

The Relative Strength Index (RSI) is at 57.15, suggesting that the uptrend is healthy with further room for growth. Additionally, LATENTVIEW is trading comfortably above its 20-day, 50-day, and 200-day Exponential Moving Averages (EMA), reinforcing the positive trend. If the stock holds above the critical resistance level of Rs 495, it would present an ideal entry point for long positions.

Traders may consider entering at the current price level of Rs 484.7, with a stop loss at Rs 468 and a target of Rs 519. This setup presents a compelling opportunity for potential gains. However, it's important to remain cautious of potential short-term volatility, despite the favorable technical indicators.

HEG

Buy HEG in Cash @ Rs 2570.4, stop-loss @ 2481, target @ 2750

HEG is currently trading at Rs 2570.4 and has formed a cup and handle pattern on the weekly chart. This is a bullish pattern, and the significant increase in trading volumes further supports the positive outlook. If HEG manages to sustain above the key resistance level of Rs 2600, it could potentially rally toward the next target of Rs 2750.

The Relative Strength Index (RSI) is at 66.85 and trending upwards, reflecting increasing buying momentum. Additionally, the stock is trading above its key moving averages, including the 20-day EMA (short-term), 50-day EMA (medium-term), and 200-day EMA (long-term), reinforcing the ongoing bullish trend.

Given the favorable technical setup and key indicators such as the RSI and moving averages, buying HEG at the current price of Rs 2570.4, with a stop loss at Rs 2481 and a target of Rs 2750, presents a strong opportunity for potential gains, aligning with the current bullish trend.

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.