Buy/Sell: 4 Swing Trading Stock Picks By VLA Ambala On Wednesday, 13th March

During the day, the benchmark index Nifty experienced a price rejection at higher levels, as noticed by a long shadow in the daily timeframe. The Nifty also ended on Tuesday with the formation of a long-legged 'Doji' candlestick pattern, suggesting a momentum where neither the buyers nor sellers managed to have a decisive advantage.

Several factors can be attributed to this occurrence. For instance, factors like the current valuations, which suggest a "high buying zone" at a higher time frame (like weekly and monthly timeframes), profit booking sentiments around record highs, and the convergence of the markets and bullish traders reaching unprecedented highs, are playing their parts to influence the prevailing momentum. Notably, a high buying zone reflects overbought conditions, which is not ideal for buying stocks at the current price. Besides these rare events, the upcoming Lok Sabha elections continue to add to the ongoing concerns in the domestic market, which is already dealing with the blows of high inflation and a sharp unemployment rate, said V.L.A. Ambala, a Research Analyst (SEBI Registered), Co-founder - Stock Market Today (SMT).

Technical Chart Analysis

Currently, the index is trading with a nearly filled divergence and is 0.55 points away from its 20-day Exponential Moving Average (EMA) and 2.30% away from its 50-day EMA, which is most likely to converge soon. Keeping the prevailing situations in mind, my advice would be to remain invested in quality stocks. Meanwhile, F&O traders following a short-term approach must consider hedging to spread out the impact of any unforeseen risks. Amid these, the key levels that traders should monitor closely in the next session are 2220 and 22150 as support ranges and 22385 and 22420 as key resistance points in intraday trading, stated VLA Ambala.

Market View for 13th March 2024

For Nifty, the key support levels for the next trading session will be 22310 and 22250, whereas resistance is likely to be observed at 22360 and 22390. The banking index could find key support at 47270/47150/46830, with 47365 and 47500 serving as major resistance points, highlighted V.L.A. Ambala, a Research Analyst (SEBI Registered), Co-founder - Stock Market Today (SMT).

Stocks to Check Out On March 13 March 2024

PHOENIXLTD

• ENTRY - Rs. 2850-2900
• TARGETS - Rs. 3000,3150/3300/3500
• STOPLOSS - Rs. 2640
• VIEW - SWING

ZENSARTECH

• ENTRY - Rs. 545-560
• TARGETS - Rs. 590/600/610/650
• STOPLOSS - Rs. 521
• VIEW - SWING

NOVAAGRI

• ENTRY - Rs. 57
• TARGETS - Rs. 64/70/80/15/120/135/150
• STOPLOSS - Rs. 48
• VIEW - SWING

GMDCLTD

• ENTRY (SELL) - Rs. 365- 360
• TARGETS - Rs. 345/340/330/320
• STOPLOSS - Rs. 388
• VIEW - Intraday

Note: V.L.A. Ambala emphasizes that these recommendations are based on price movement, past behavior, and technical analysis.

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.