Day trading guide for Friday


Kotak Securities


We again witnessed a sharp decline in the market on Thursday mainly due to the sudden jump in the long-term bond yields in the US. We think, soon it will be normal for the market and then the market can react normally. The steady growth in the economy leads to a steady rise in the bond yields and, therefore, the market should start offering discounts in the medium to long term.

Technically, the market recovered from lower levels, but due to the pressure of the weekly expiration of Index contracts, the Nifty/Sensex came back from the highs of 15,200/51,260. On Friday, 15,050/50,750 and 14,950/50,400 levels will be decisive for the market. The Nifty/Sensex could fall to 14,850/50,100 or 14,750/49,800 on a decisive dismissal of 14,950/50,400. On the upside, the 15,250/51,300 level would be a big hurdle for the index.

Tech Picks

Analyst: Shrikant Chouhan, Executive Vice President – Technical Research

Batteries: BUY

CMP: Rs 919

Target: Rs 950

Stop loss: Rs 900

Rounding bottom formation near important support zones with incremental volume activity on daily chart.

Ambuja Cements: BUY

CMP: Rs 292

Target: Rs 305

Stop loss: Rs 285

The stock is trading in a rising channel and with a higher top higher bottom formation, the up move is likely to sustain in the near term.

FSL: BUY

CMP: Rs 107.95

Target: Rs 114

Stop loss: Rs 105

A fresh breakout is evident from an inverse head and shoulder chart formation with a rising volume on the daily chart.

Grasim: BUY

CMP: Rs 1,350.4

Target: Rs 1,390

Stop loss: Rs 1,330

Higher high and higher low chart formation indicates bullish momentum in stock to remain in the near term.

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F&O Strategy

Analyst: Sahaj Agrawal, Head of Research – Derivatives

Futures: BUY SBI Life Future-March at 915

Stop loss: 886

Target: 960

Descending Triangle breakout seen above 910 on spot.

Options: Nifty Bull Call Spread: 25 Mar-21 SERIES

Buy 15100 CE @ 350 and Sell 15500 CE @ 165

Premium outflow (Cost): 185

Stop loss: 80

Target: 350/400

Nifty continues to trade in an uptrend, after it made a putative swing low of 14,467. A fresh momentum has built up above 15,000 and with market breadth remaining strong, we expect Nifty to retest 15,500 levels.

Forex & Interest Rate Technical

Anindya Banerjee, DVP, Currency Derivatives & Interest Rate Derivatives

USD-INR: Buy 73.00 Put and Sell 74.00 Call option; March 26th expiry @ 22 paise.

Stop loss: Exit strategy if USD-INR March fut trade above 73.55

Commodity Calls
Ravindra Rao, VP- Head Commodity Research

Commodity Exchange Strategy
Gold (Apr) MCX Sell at 45200/45250; TP: 44500/44300; SL: 45650
Crude Oil (Mar) MCX Sell at 4530/4550; TP: 4380/4350; SL: 4630
Lead (Mar) MCX Sell at 164.50/165; TP: 160/159; SL: 166.50
Ref Soy oil (Mar) NCDEX Sell at 1160/1162; TP: 1140/1135; SL: 1175





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