Stocks To Buy: Day Trading Guide By Sumeet Bagadia On Wednesday, 14th August

Due to clashing global cues, domestic benchmark indices began slightly lower on Tuesday. The Nifty was under pressure all day and ended the day at 24,139 levels, where it closed lower than when it started. A spike in market volatility was indicated by the volatility index, INDIA VIX, which rose to 1.89% and settled at 16.17. The Bank Nifty index had a negative opening gap and was under pressure all day, wrapping up at 49,832 levels. PSU stocks like Hindustan Aeronautics and Mazagon Dock Shipbuilders will be the focus of investors' attention today as these companies will be releasing their Q1 earnings.

Nifty Prediction

"On the daily scale, the index formed a bearish Marubozu candle and broke the support of the 34-Day Exponential Moving Average (DEMA) around 24,230, signaling weakness. As long as the index remains below 24,230, the downward pressure is likely to continue. On the downside, the 50-DEMA provides support near 24,020, making the 24,000-24,020 range a critical support zone for Nifty in the short term," said Hrishikesh Yedve, AVP Technical and Derivatives Research at Asit C. Mehta Investment Interrmediates Ltd.

Bank Nifty Prediction

"Technically, the index formed a red candle on the daily scale, indicating continued weakness. The index is struggling to surpass the 50-DEMA, currently placed around 50,830 whereas the recent swing support is at 49,660 levels. A sustained move below 49,660 could push the index towards the 49,000 levels," Hrishikesh Yedve commented.

Stocks To Buy Today

Sumeet Bagadia, executive director of Choice Broking, suggested purchasing two technical stocks on Wednesday after the Nifty index created a bearish Marubozu candle on a daily scale, indicating weakness.

Marico

Buy MARICO in Cash @ 660.55, stop-loss @ 635, target @ 715

MARICO is currently trading around 660.55 and appears to be in a consolidation phase. After reaching an all-time high, the stock has been stabilizing near its demand zone. Recently, MARICO witnessed a bounce back from 626, which was also near its medium-term (50-day) EMA levels, indicating a potential trend reversal. If the stock manages to sustain above the 680 level, it could likely continue its upward trajectory toward new highs.

The Relative Strength Index (RSI) is at 52.78 and trending upward, signaling increased buying momentum. Additionally, MARICO has bounced from its medium-term (50-day) EMA and is trading above its short-term (20-day) EMA, confirming the strength of the current uptrend.

Given the current technical indicators and price action, MARICO appears well-positioned for a potential upward move. Investors might consider buying on dips, with a stop loss set at 635 to manage risk. The target price of 715 aligns with resistance levels and offers a favorable risk-reward ratio, making this a promising trading opportunity.

TVS Motor Company

Buy TVSMOTOR in Cash @ 2635.8, stop-loss @ 2535, target @ 2850

TVSMOTOR is currently trading near its all-time high at 2,635.8, forming higher highs and higher lows on the daily chart. The stock has created a strong bullish candle supported by high trading volumes, indicating a continuation of the uptrend. TVSMOTOR recently bounced from its support zones, and if it maintains its position above the 2,650 level, it could move further toward an upside target of 2,850.

The Relative Strength Index (RSI) stands at 64.92 levels, indicating that the stock is not in an overbought condition and thus has room for further upward movement. Additionally, the stock has bounced from its short-term (20-day) Exponential Moving Average (EMA), signaling strong support at these levels.

Based on these technical indicators, we recommend taking a long position in TVSMOTOR at 2635.8. Set a stop loss at 2535 to manage risk, and aim for a target price of 2850, aligning with the current favorable market sentiment.

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.