Buy/Sell/Hold: Day Trading Picks By Sumeet Bagadia On Monday, 24th June

The Sensex and Nifty indices both saw minimal gains of 0.2%, signalling the third week in a row of rise for the Indian stock markets. With the US and UK indices wrapping up by 1.45% at 39150 and 1.12% at 8237 levels, respectively, the global market ended the week on a bullish note. The monsoon's growth, the next GST meeting, the FII and DII fund flows, and the India Infrastructure Output (YoY) (May) are important variables to keep track of as they may affect the market sentiment this week. Investors will be closely monitoring the following global data points: U.S. GDP (QoQ) (Q1), Initial Jobless Claims, UK GDP (YoY), UK GDP (QoQ), Core PCE Price Index (YoY) (May), and Fed Monetary Policy Report.

Market Outlook Today

"Technically, on a daily basis, the index has formed bearish candle. Moreover, the index wiped out all the weekly gains and settled the week on a flat note, indicating distribution at higher levels. As long as the index holds 23,330 levels, bullish momentum will continue, on higher side, 23,700 and 23,800 will act as short term hurdle," said Hrishikesh Yedve, AVP Technical and Derivatives Research at Asit C. Mehta Investment Interrmediates Ltd.

"Technically, on a daily scale, the Bank Nifty has formed bearish engulfing candlestick pattern. As per this pattern, 51,935 will act as resistance. However, index managed to sustain above the previous barrier of 51,134. Thus, 51,100-51,000 will act as immediate support for the index. Thus, we expect Bank Nifty to consolidate in the range of 51,000-52,000 in the short term," Hrishikesh Yedve further added.

Stocks To Buy Today

During Monday, June 24's intraday trading session, Choice Broking's executive director, Sumeet Bagadia, recommended buying two stocks on a technical basis.

Swaraj Engines

Buy SWARAJENG in Cash @ Rs 3055.7, stop-loss: Rs 2944, target: Rs 3222

The stock is currently trading at 3055.7 levels. Currently stock is trading above all the important moving averages. On daily charts the stock has formed a strong green candle which indicates bullishness in the stock. Now any dip in the stock around 3030 levels will be a buying opportunity. A small resistance can be witnessed near 3100 levels, and once stock crosses the mentioned level SWARAJENG can now further move towards 3222 levels and higher.
According to the aforementioned technical analysis, we advise buying SWARAJENG at a CMP of 3055.7 for the target of 3222. If the stock closes below 2944, our analysis will be invalid.

V Guard Industries

Buy VGUARD in cash @ Rs 424.8, stop-loss @ Rs 410, target @ Rs 450

VGUARD is exhibiting strong bullish momentum, currently trading at an all-time high of 429.8 levels. The recent breakout above the crucial resistance at 415 levels is a significant technical development, supported by robust trading volumes, reinforcing the strength in the stock. The breakthrough suggests a potential continuation of the upward trend, offering an optimistic outlook for investors.

Additionally, VGUARD is trading above key moving averages, including the short-term (20 Day), medium-term (50 Day), and long-term (200 Day) EMAs, further affirming its bullish stance. The momentum indicator, Relative Strength Index (RSI), is at 70.60 levels.

For traders, keeping an eye on the strong support near 410 levels is advisable, as a breach of this level could signal a shift in sentiment. Overall, VGUARD current technical setup suggests a favourable environment for further upside potential, provided traders and investors remain vigilant to potential reversals and closely monitor key support and resistance levels.

Based on the above analysis we recommend buying VGUARD and the CMP of 424.8 with a stop loss of 410 for the target of 450.

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.