Stocks to Buy Today: 3 Short-term Trading Ideas by Experts for 23 March 2023
The Indian market traded lower on Thursday, following mixed global cues. However, the S&P BSE Sensex and Nifty50 bounced back in the previous trading session. Equity markets across Asia were trading mixed after the US Federal Reserve hiked interest rates by 25 basis points (bps) in their latest committee meeting, which was in line with market expectations. The commentary from the US Fed was largely hawkish and data-dependent and has signaled a possibility of another hike in the offing.
The Indian Market Scenario
The Indian market has been trading mixed in the past few days. The India VIX was down by 1.81% from 15.08 to 14.80 levels on Wednesday. Volatility has been cooling off from the last two sessions as the bulls held on to a crucial support zone. On the weekly options front, the maximum Call OI is placed at 17500 and then towards 17400 strikes while the maximum Put OI is placed at 17100 and then towards 16900 strikes. According to Chandan Taparia, Analyst-Derivatives at Motilal Oswal Financial Services Limited, “Options data suggests a broader trading range in between 16600 to 17500 zones while an immediate trading range in between 16800 to 17350 zones.” He further adds that “Nifty formed a small-bodied Bearish candle on the daily scale on Wednesday and momentum needs to continue for it to cross its immediate hurdles and bulls to be in strength.” Taparia recommends that “Nifty has to hold above 17071 zones to witness an up move towards 17250 and 17350 zones, while on the downside supports are seen at 17071 and 16950 levels.”
India VIX and Options Front
India VIX was down by 1.81% from 15.08 to 14.80 levels on Wednesday, indicating a cooling off of volatility from the last two sessions. On the weekly Options front, the maximum Call OI is placed at 17500 and then towards 17400 strikes while the maximum Put OI is placed at 17100 and then towards 16900 strikes. Experts suggest that options data suggests a broader trading range in between 16600 to 17500 zones while an immediate trading range in between 16800 to 17350 zones.
Expert Trading Ideas
For traders who have a short-term trading horizon, we have collated stocks from various experts. Here are three stocks recommended by Jayesh Bhanushali, Sr Derivative & Technical Research Analyst at IIFL, which traders can consider buying today:
ICICI Bank
Buy| Target Rs 910| Stop Loss Rs 825
According to Bhanushali, the stock has given a breakout above the 50-Day EMA, which is a positive sign for the bulls. ICICI Bank is one of the leading private sector banks in India with a diversified portfolio.
Manappuram Finance
Buy| Target Rs 127| Stop Loss Rs 115
Bhanushali recommends buying Manappuram Finance as the stock has given a consolidation breakout with good volume. Manappuram Finance is a leading gold loan NBFC in India with a presence across the country.
Bank of Baroda
Buy| Target Rs 176| Stop Loss Rs 159
According to Bhanushali, Bank of Baroda has given a short-term breakout. Bank of Baroda is one of the leading public sector banks in India with a strong presence in retail and corporate banking.
Conclusion
In conclusion, the Indian market has been experiencing mixed global cues, but experts suggest that certain stocks are ideal for traders with a short-term trading horizon. ICICI Bank, Manappuram Finance, and Bank of Baroda are all potential options for traders looking to make a quick profit.
FAQs
1. What is the maximum Call OI placed on the weekly Options front?
The maximum Call OI is placed at 17500 and then towards 17400 strikes.
2. What is the maximum Put OI placed on the weekly Options front?
The maximum Put OI is placed at 17100 and then towards 16900 strikes.
3. What is the broader trading range suggested by options data?
Options data suggests a broader trading range in between 16600 to 17500 zones.
4. What is the immediate trading range suggested by options data?
Options data suggests an immediate trading range in between 16800 to 17350 zones.