Day Trading Guide: Stocks To Buy/Sell On Wednesday As Recommended By Chandan Taparia of Motilal Oswal

As investors exercised caution ahead of the US Fed's announcement of its interest rate decision today and as US bond yields surged to decade highs, the Indian stock market started lower on Wednesday.

Nifty Outlook Today

Nifty immediate support is at 20050 then 19950 zones while resistance is at 20250 then 20300 zones. Now it has to hold above 20100 zones for an up move towards 20250 then 20300 zones whereas support exists at 20050 then 19950 zones, said Chandan Taparia, Derivatives & Technical Analyst of Motilal Oswal.

Bank Nifty Outlook

Chandan Taparia believes Bank Nifty support at 45750 then 45500 zones while resistance at 46369 then 46500 zones. Now it has continue to hold above 45750 zones for an up move towards recent life high of 46369 then 46500 zones while on the downside support seen at 45750 then 45500 levels.

Market Outlook Today

"Gift Nifty decline by 86 points or 0.4% on account of US, Asia and Europeans market decline up to 2% in the last two trading sessions. US Market ended to 3-week low on expectation of hawkish stance by US Fed in the today's policy meeting outcome (today at 11.30pm, India impact tomorrow). However, US Fed may keep unchanged interest rate but Fed commentary will be important in the global market. In the domestic front, surging oil price to nearly 1-year high and FIIs selling (Monday FIIs net sellers over Rs1200cr) are major concern in the market. However, positive factor that the net direct tax collection this Financial Year surged by 23.5% YoY Trader can do buy on decline strategy while stocks specific action may continue. Tata Motor will increase prices of its commercial vehicles, may positive on auto stocks," said Chandan Taparia.

Stocks To Buy Today

Technical Pick:

Tata Motors

Buy at CMP of Rs 640, stop-loss: Rs 625, target: Rs 670, duration: 2 to 3 days

Tata Motors has given trend line breakout on daily chart and managed to close above the same. It has formed a bullish candle on daily chart and supports are gradually shifting higher. Buying is visible across Auto space which may support the ongoing up move. The momentum indicators are placed in the positive territory which may take the price to higher zones.

Fundamental Pick

Titan

Buy at CMP INR3335, target: INR2600, duration: 1 year

Titan is expected to sustain its healthy operating performance, supported by strong market position across products. Given its sub-10% market share in jewellery and the struggles of unorganized and other organized peers, we see a promising growth outlook for Titan.

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.