Swing Trading Guide: 3 Buy/Sell Stock Recommendations By VLA Ambala On Thursday, 6th June

In the last trading session, the stock market bounced back after a sharp decline of 9% in the previous session following the Lok Sabha Election results announcement. In intraday, the market opened with a positive bias and concluded the session with a recovery of 3%.

"Notably, as the day rolled on, the benchmark index Nifty formed a 'Bullish Harami Candlestick' pattern at the daily timeframe, suggesting a potential trend reversal. Judging by the current market direction, it is likely that the index will trade within a 3-5% range in the remaining week. Volatility indicator, India VIX closed the market session at the 19.05 mark. However, it should be noted that the day's highest was recorded at 26.96, while 18.66 was the lowest reading on the indicator, suggesting significant market volatility. Amid these developments, the Bank Nifty index closed the session above the 49000 mark from whence 48000 will serve as the support range," said V.L.A. Ambala, a Research Analyst (SEBI Registered), Co-founder - Stock Market Today (SMT).

Nifty Prediction

"Nifty witnessed a gap up opening and after the initial bout of volatility it stabilized and inched higher to close with gains of ~736 points. The Nifty has managed to close above the short-term moving average (22514) which is a positive sign. The intraday range of movement has been big and above normal. We expect the rangebound action to continue. The range is likely to be 21300 - 23000 from short term perspective. INDIAVIX cooled off by 30% and closed around 19.03 today and we expect it to cool off further as the uncertainty reduces," stated Jatin Gedia - Technical Research Analyst at Sharekhan by BNP Paribas.

Bank Nifty Prediction

"Bank Nifty has also witnessed a pullback and has retraced towards 49200 where the 61.82% Fibonacci retracement level is placed. We expect it to consolidate in the range of 46500 - 50000 from short term perspective," Jatin Gedia added.

Market Outlook Today

"For the Nifty index, the key support levels for the next trading session will be between 22500 and 22350, whereas resistance will likely be noticed between 22850 and 23000. On the other hand, the Banking Index could find key support between 48340 and 48200, and witness 49200/49500/49850, acting as their major resistance points," VLA Ambala commented.

Stocks To Buy Today

Here are the 3 buy/sell stock recommendations by VLA Ambala for swing traders on 6th June, Thursday.

WELCORP

• ENTRY: Rs. 498
• TARGET: Rs. 515/527/550
• STOP LOSS: Rs. 470

IOLCP

• ENTRY: Rs. 350/355
• TARGET: Rs. 365/380/400
• STOP LOSS: Rs. 335

TRIGYN

• ENTRY: Rs. 110
• TARGET: Rs. 105/100/95
• STOP LOSS: Rs. 116

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.