Day Trading Guide For Today: 2 Stocks To Buy/Sell Today As Recommended By Chandan Taparia of Motilal Oswal

Nifty yesterday began positively and moved in a constrained range before closing with gains of 46 points (+0.2%) at 19,575 levels against muted global and domestic cues. Nifty September future wrapped up at 19653.55, representing a premium of 78.65 points compared to the previous session's premium of 80 points. Bank Nifty futures OI dropped by 3.25% to 21.56 Lakhs, while Nifty futures OI rose by 0.24% to 1.02 Cr. The Nifty Put/Call Ratio (OI) rose from a level of 1.37 to 1.41. India VIX dropped from 10.96 to 10.82 levels, a drop of 1.35%.

Nifty Prediction

Chandan Taparia, Derivatives & Technical Analyst of Motilal Oswal said, Nifty immediate support is at 19500 then 19444 zones while resistance is at 19650 then 19700 zones. Now it has to hold above 19500 zones for an up move towards 19650 and 19700 zones whereas support exists at 19500 then 19444 zones

Bank Nifty Prediction

Bank Nifty support is at 44250 then 44000 zones while resistance is at 44750 then 45000 zones. Now it has to continue to hold above 44444 zones for an up move towards 44750 then 45000 levels while on the downside support is seen at 44250 then 44000 zones, said Chandan Taparia.

Market Outlook

Indian stock market is expected to open on a flat note on account of weak global markets as concerns that a spike in Brent crude price may further fuel global inflation. Lower than expected US factory orders data, US Dollar Index surged to a 6-month high, Brent crude spiked to nearly 1-year high, rising US Bond yield and poor China August PMI data pulled down the US, Asia and European market, said Chandan Taparia.

"US equities closed down on Tuesday as materials and industrials stocks tumbled amid fresh signs of an economic slowdown in China and the euro area, and concerns about surging oil prices further fuel inflation. European stocks extended their drop to a fifth day as disappointing economic data from China overshadowed a positive run in the energy and financial services sectors. Asian stocks traded mixed on Wednesday after US shares fell and a rally in oil increased concern about inflation. Benchmark indexes were higher at the open in Japan, but slipped in Australia and fluctuated in South Korea," he further stated.

Stocks To Buy Today

Below are 1 technical and 1 fundamental stock to buy today, September 6, as suggested by Chandan Taparia, Derivatives & Technical Analyst of Motilal Oswal.

Technical Pick:

Laurus lab

Buy at CMP of Rs 407, stop-loss: Rs 397, target: Rs 425, duration: 2 to 3 days.
Laurus lab has given triangle breakout on daily chart and holding well above the same. Pharma stocks are in overall uptrend which may support the ongoing momentum. It formed a strong bullish candle on daily scale and holding well above short term moving averages. The momentum indicators are placed in the positive territory which may take the price to higher zones.

Fundamental Pick:

Jubilant Food

Buy at CMP of Rs 534

With shraavan ending and festive season starting along with world cup ahead, demand is expected to revive. Even the daily inflation has moderated, providing some relief to the QSR players.

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.