Day Trading Guide: Sumeet Bagadia of Choice Broking Recommends 2 Stocks To Buy Today On Thursday, 21st Sept

On September 20, benchmark indices had a second straight session of negative closing levels. The Nifty was down 231.90 points or 1.15 percent at 19,901.40 at closure, and the Sensex was down 796 points or 1.18 percent at 66,800.84. HDFC Bank, JSW Steel, Reliance Industries, BPCL, and SBI Life Insurance were the Nifty's top losers, while Power Grid Corporation, Coal India, ONGC, Sun Pharma, and Eicher Motors were the major winners. With the exception of power, all other sectoral indices ended in the negative, and on the broader market, the BSE midcap index and smallcap index also had declined by 0.33 percent and 0.51 percent respectively.

Nifty Prediction Today

Jatin Gedia - Technical Research Analyst at Sharekhan by BNP Paribas believes that on the daily charts, we can observe that the Nifty is in the process of retracing the rise it has witnessed from 19223 - 20222. On the downside it can drift towards 19840 where the 38.2% Fibonacci retracement level is placed. The Nifty has witnessed a faster retracement and also breached the low of 19914 (wave IV low) which suggests that the rise from 19223 to 20222 has completed a wave. The daily momentum indicator still has a positive crossover however we shall assign more weightage to the price action and expect the momentum to align with the price action sooner rather than later. In terms of levels, 19840 - 19800 is the crucial support zone while 20050 - 20100 shall act as an immediate hurdle zone.

Bank Nifty Prediction Today

"Bank Nifty has also entered correction mode. It was unable to break the previous swing high which was a sign of weakness. On the downside the Bank Nifty can drift towards 45070 - 44930 where support in the form of the 50% fibonacci retracement level and the 20 day moving average is placed respectively. Considering the sharp fall a pullback is possible however we expect it to be sold into and that should be the ideal trading strategy from short term perspective," said Jatin Gedia.

Stocks To Buy Today

Today, September 21st, Thursday, Sumeet Bagadia, Executive Director at Choice Broking, has made the following stock recommendations.

Bharat Forge

Buy BHARATFORG in cash @ Rs 1128, stop-loss: Rs 1090, target: Rs 1182

Bharat Forge, currently trading at 1128, exhibits a promising upward momentum, supported by a favorable technical outlook.
The stock is positioned above crucial moving averages, including the 20-day, 50-day, 100-day, and 200-day, signifying a robust trend. The Relative Strength Index (RSI) stands at 69, indicating a healthy balance between buying and selling pressure. This suggests a well-balanced market sentiment without the presence of overbought conditions. Considering these factors, an entry at the current level presents an opportune moment for investors seeking potential gains. A prudent target for this trade lies at 1182, leveraging the positive trend and momentum exhibited by Bharat Forge. However, it is advised to monitor market conditions and set the appropriate stop-loss level at 1090 to mitigate potential risks.

Balkrishna Industries

BALKRISIND has bounced back from its previous support zone after forming a Double bottom pattern. Additionally, the price is moving in Higher High and Higher Low formation which suggests bullish momentum. The stock is also trading above the 20 EMA. The fact that the RSI indicator is trading close to 67 levels indicates that the stock price may rise further.

Hence, based on the above technical structure one can initiate a long position at CMP 2550.3 for the target price of 2630. SL can be kept as 2505.

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.