Day Trading Stocks: 2 Buy/Sell Picks By Sumeet Bagadia On Thursday, 29th August

In keeping with strong global cues, the domestic benchmark indices began on a flat note on Wednesday. The Nifty started the day somewhat higher than it ended, but after that, the index saw a rebound that allowed it to reach a new high of 25,129.60. But because of profit-booking in the second phase of the day, Nifty ended the day flat to up at 25,052 levels. With constant pressure, the Bank Nifty began the day lower than it started and ended the day lower at 51,144 points. Throughout the day, the IT and pharmaceutical sectors outperformed, but heavyweight firms like banking kept the markets under pressure. The India VIX increased barely by 2.33%, from 13.63 to 13.95. The outlook is still favourable despite this slight volatility, with the VIX staying below 15, supporting the "Buy on Dips" approach.

Market Outlook

"Nifty extended its winning streak to ten consecutive sessions, but the formation of consecutive uncertain candlestick patterns, known as "Doji," on the daily chart raises concerns about the sustainability of the uptrend. While it took only three sessions in early August for prices to drop from 25000 to 24000, reclaiming this ground has taken considerably longer, resulting in divergence on oscillators. This suggests some fatigue in the bullish momentum, though it doesn't indicate a bearish reversal. Therefore, the strategy remains to maintain a positive bias but with more selectivity. Traders should avoid complacency, prefer buying on intraday dips, and consider timely profit booking. Key levels to watch for the monthly expiry are resistance at 25150 - 25240, while support is seen at the psychological 25000 mark, followed by the bullish gap around 24850. Traders should adjust their strategies accordingly," said Rajesh Bhosale, Equity Technical Analyst, Angel One.

Stocks To Buy Today

Sumeet Bagadia, executive director of Choice Broking, suggested purchasing two intraday stocks on August 29 following the Nifty's breakout of a diamond formation and sustained above the key 25,000 mark, signifying an upward trend.

Whirlpool Of India

Buy WHIRLPOOL in Cash @ 2073.95, stop-loss @ 1996, target @ 2240

The current trading price of WHIRLPOOL is Rs 2,073.95, and the stock has shown a strong uptrend, suggesting bullish momentum. The stock experienced a brief consolidation phase, followed by a recent breakout above key levels, indicating the potential to reach short-term to medium term targets of Rs 2240. Immediate support is located at Rs 1996, presenting potential buying opportunities on dips.

With the RSI at 54.39, the stock is in a positive zone, indicating mildly bullish sentiment. This level suggests that there is currently more buying pressure than selling, which aligns with the recent price increase.

To manage risk effectively, it is advisable to set a stop-loss (SL) at Rs 1,996. This precaution will help protect your investment in the event of an unexpected market reversal. In summary, considering the technical analysis and current market conditions, WHIRLPOOL appears to be an appealing buying opportunity for those targeting a price of Rs 2240, provided that appropriate risk management measures are implemented.

Dr Reddy's Laboratories

Buy DRREDDY in Cash @ 6999.30, stop-loss @ 6765, target @ 7410

DRREDDY is currently trading at Rs 6,999.30, showing a positive trend with a steady upward movement. The stock is positioned above its short-term (20-day EMA), medium-term (50-day EMA), and long-term (200-day EMA) exponential moving averages, signalling strong bullish momentum. This alignment of EMAs indicates that the stock is in a solid uptrend, and buyers are in control. Additionally, the recent trading volumes suggest a growing interest among investors, further supporting the bullish sentiment.

The price action shows consistent higher highs and higher lows, confirming a well-established uptrend. A minor resistance appears to be around the Rs 7,050 mark. A decisive break above this level, especially with increased volume, could lead to a further rally towards Rs 7,410 and beyond.

Investors can consider buying DRREDDY at current levels at Rs 6999.30 with a stop loss at Rs 6,765 to capitalize on the bullish momentum for the target of Rs 7410.

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.