Day Trading Stocks: 2 Buy/Sell Picks By Sumeet Bagadia On Wednesday, 18th September

The nation's benchmark indices began the day higher, following global trends. Nifty opened the day flat to higher and moved in a constrained range all day long. Consequently, the index ended the day at 25,419, somewhat higher than it started. Bank Nifty had a strong start to the day, but it was unable to maintain higher levels, which caused consolidation within a small range. The index ended the day at 52,189, slightly higher than it started. The fear gauge, or India VIX, has fallen to 12.59, the lowest level it has reached this month. A surge above 14 may indicate caution for the upcoming session and bring about a modest downturn.

Nifty Outlook Today

"Technically, the index on a daily scale formed a doji candle near its all-time high, signaling some short-term hesitation. However, the fact that Nifty remained above 25,335 (the breakout level of the rounding bottom pattern) suggests underlying strength. The 21-DEMA support is currently placed near 25,060, which will act as the next major support for the index. As long as Nifty stays above 25,060, a "buy on dips" strategy is advisable, with the potential for the index to test 25,600 in the short term," said Hrishikesh Yedve, AVP Technical and Derivatives Research at Asit C. Mehta Investment Interrmediates Ltd.

Bank Nifty Outlook

"Technically, the index sustained above the cup-and-handle breakout level of 51,750, indicating potential strength. Therefore, the 51,700-51,750 zone will act as immediate support for Bank Nifty in the short term. If the index holds the 51,700 support, it could test levels of 52,800-53,000 in the short term," predicted Hrishikesh Yedve.

Stocks To Buy Today

On September 18, Choice Broking's executive director Sumeet Bagadia recommended buying two intraday stocks as Nifty kept a cautious stance in advance of the Federal Open Market Committee (FOMC) meeting of the US Federal Reserve (US Fed).

Godrej Agrovet

Buy GODREJAGRO in Cash @ 832, stop-loss @ 800, target @ 900

GODREJAGRO is currently trading at Rs 832. The stock recently broke out of a Flag & Pol pattern on the daily chart, accompanied by a significant increase in trading volume, which suggests a possible bullish reversal. If the price manages to close above the Rs 834 level, it could potentially reach short-term targets of Rs 900.

On the downside, immediate support is located at Rs 820, which could present buying opportunities on dips. The Relative Strength Index (RSI) is currently at 59.23 and trending upward, indicating increasing buying momentum. To prudently manage risk, it is advisable to set a stop-loss at Rs 800 to help protect your investment in case of an unexpected market reversal.

In summary, considering the technical analysis and current market conditions, GODREJAGRO appears to present an appealing buying opportunity for those targeting Rs 900, provided that appropriate risk management measures are in place.

Voltas

Buy VOLTAS in Cash @ 1904.5, stop-loss @ 1837, target @ 2037

VOLTAS is currently trading at Rs 1904.50 and is forming a higher high higher low pattern on the daily chart, accompanied by significant volume, indicating strong upward momentum. The stock is experiencing a minor pullback, but if it sustains above Rs 1900, it has the potential to rise towards Rs 2037.

Immediate support is at Rs 1880. The Relative Strength Index (RSI) stands at 74.56, suggesting the stock might experience a time-wise correction or trade sideways, which could present buying opportunities during dips. To manage risk effectively, a stop-loss at Rs 1837 is recommended to protect against unexpected market reversals.

In conclusion, based on the technical setup and current market conditions, VOLTAS offers a promising buying opportunity for those targeting Rs 2037, provided that proper risk management strategies are employed.