Trade Call: 2 Intraday Stock Picks By Chandan Taparia of Motilal Oswal On Wednesday, Jan 3

Tuesday's closing Nifty was down 76 points at 21666 levels, while the India VIX was down 0.7% at 14.58 levels. On Wednesday, Sensex and Nifty could experience more consolidation against the background of erratic global signs. Gift Nifty had negative trading action in the early trade, while Asian stocks had mixed results, which might have a negative impact on benchmark indices.

Market Outlook Today

Weak opening in the Asian market and overnight sharp drop in the US IT major index Nasdaq Composite, may open domestic bourses marginally lower. US markets ended mixed bag but IT major Index Nasdaq nosedived 1.5%. Moreover, US 10-Year bond yield surged by 5bps to 3.92% ahead of US Fed Minutes of Meeting to be released today, said Chandan Taparia, CMT, CFTe Derivatives & Technical Analyst of Motilal Oswal.

UK and Germany Index slipped 0.3% each. South Korea's benchmark index fell more than 1% at the open, while that of Australia traded lower after nearing a record high in the previous session. Gift Nifty is down by 0.3%. Expects, weakness in the IT stocks after global IT major index Nasdaq Composite slipped 1.5%. Geopolitical tension in Red Sea may be positive on Shipping stocks. Sugar stocks may be positive on account of rising global prices, added the analyst.

Nifty Technical Outlook

Nifty immediate support at 21500 then 21350 zones while resistance at 21850 then 22000 zones. Now it has to hold above 21650 zones, for an up move towards 21850 then 22000 zones whereas supports are placed at 21500 then 21350 zones, stated Chandan Taparia.

Bank Nifty Technical Outlook

Bank Nifty support is at 47500 then 47250 zones while resistance is at 48000 then 48250 zones. Now it has to cross and hold above 47777 zones for a bounce towards 48000 then 48250 levels while a hold below the same could see some weakness towards 47500 then 47250 zones, added the analyst.

Stocks To Buy Today

On Wednesday, Chandan Taparia, CMT, CFTe Derivatives & Technical Analyst of Motilal Oswal recommended 1 fundamental and one technical stock to buy.

Glenmark Pharma

Buy at CMP of Rs 888, stop-loss: Rs 870, target price: Rs 920, timeframe: 2-3 Days

Glenmark Pharma has given a range breakout on the daily chart and managed to close above the same. Breakout is supported by noticeable volumes which may support the ongoing up move. It has formed a strong bullish candle on a daily scale and supports are gradually shifting higher. Momentum indicator Relative Strength Index (RSI) is positively placed which indicates strength in the stock.

Sun Pharma

Buy at CMP-Rs 1295, target-Rs 1310

Sun Pharma is well-positioned to reinforce its specialty franchise through the addition of new products, the expansion of its reach, and the superior implementation of its existing products. It continues to outperform both in the branded generics market of India (DF) and other emerging markets, added the analyst.

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.