Day Trading Guide For Thursday: Sumeet Bagadia of Choice Broking Recommends 2 Stocks To Buy/Sell On 7th Sept

On Wednesday, the Nifty 50 climbed 36.15 points, or 0.18%, to close at 19,611.05. After losing 123.05 points, Bank Nifty settled at 44,409.10. Generally speaking, consumer durables, oil & gas, and FMCG stocks were the top performers on the sectoral front, whereas banks and metal sectors were the top laggards. Sensex climbed 100.26 points or 0.15% on September 6 to close at 65,880.52. BSE Midcap and Smallcap index wrapped up on a mixed note after settling at 32,122.06 and 37,948.61 levels respectively. Smallcap index dipped by 15.94 points while the midcap index rose by 40.29 points.

Nifty Outlook Today

"The Nifty opened on a flat note and witnessed volatile price action during the day.it witnessed selling pressure during the first half of the day while an equally sharp pullback during the second half helped the Nifty to close with gains of ~42 points. Today the intraday correction found buying interest at the key hourly moving averages placed around 19500. We believe that the overall trend is positive, and these dips are likely to be bought into. On the upside we expect the Nifty to target levels of 19650 - 19700 from short term perspective. In terms of levels, 19490 - 19520 shall act as a crucial support and 19650 - 19700 shall act as immediate hurdle," commented Jatin Gedia - Technical Research Analyst at Sharekhan by BNP Paribas on Nifty prediction today.

Bank Nifty Outlook Today

"Bank Nifty has witnessed three days of consolidation. It witnessed a pullback though closed in the negative. On the downside 44200 proved to be a strong support and the Bank Nifty witnessed a sharp pullback from the support. Going forward we expect the positive momentum to continue and expect the Bank Nifty to target levels of 45000 - 45200 from short term perspective. The daily and hourly momentum indicators are providing divergent signals which can lead to a sideways consolidation however the downside appears limited," said Jatin Gedia on Bank Nifty prediction today.

Stocks To Buy Today

Sumeet Bagadia, Executive Director of Choice Broking has recommended the below 2 stocks to buy today 7th September, Thursday.

Indian Hotel

Buy INDHOTEL in cash @ Rs 431.50, Stop-loss @ Rs 420, Target @ Rs 450.

The stock consistently traded in "Higher High Higher Low" pattern. This indicates a strong bullish trend, where buyers are willing to pay increasingly higher prices for the stock, and sellers are reluctant to push it lower. Currently, the stock is trading at an all-time high of 431.5, which is a significant milestone in this pattern. This suggests that demand for the stock is robust, and investors have confidence in its future prospects.

Moreover, the stock has closed above a minor resistance level at 427, which is another positive sign. It indicates that the stock has broken through a potential barrier, further supporting the bullish sentiment.

The Relative Strength Index (RSI) is a momentum oscillator that measures the speed and change of price movements. A comfortable RSI level of 72 signifies that the stock is not overbought, but it's still exhibiting strength, offering the potential for further upside.
Additionally, the fact that the stock is trading above all significant moving averages (such as the 20, 50 and 200-day moving averages) reinforces the bullish trend.

Based on the above-mentioned analysis we recommend buying INDHOTEL at a CMP of 431.5 with a SL of 420 for the target of 450 levels and above.

Bajaj Finance

Buy BAJFINANCE in cash @ Rs 7387.80, Stop-loss: Rs 7180, Target: Rs 7740

BAJAJ FINANCE has a strong support range between 7180 and 7235 levels which is also 50 and 20 Day EMA levels. The stock has recovered from its support levels and is now trading near 7387.80. The RSI indicator is also comfortably trading near 59 levels, indicating strength. The stock has taken support from the middle band and is approaching the upper band, which could be a small resistance near 7430. Once the stock exceeds the previously mentioned levels, it may move towards the 7740 level and above. Currently stock is trading above all the important moving averages indicating strength.

Based on the above-mentioned technical analysis, we recommend purchasing BAJAJ FINANCE at the current market price of 7387.80 with a medium-term target price of 7740. If the price falls below 7180, our analysis will be deemed invalid.

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.