Buy or sell: Vaishali Parekh recommends three stocks to buy today — August 28

Buy or sell stocks for today: Following weak global market sentiments, Indian stock market ended lower on second day in a row on Friday. NSE Nifty corrected 120 points and finished at 19,265 levels, BSE Sensex ended 365 points lower at 64,886 mark whereas Bank Nifty index lost 264 points and closed at 44,231 levels. In broad market, small-cap index went off 0.24 per cent whereas mid-cap index nosedived 0.85 per cent on previous session.

Intraday trading strategy for Monday

Vaishali Parekh, Vice President — Technical Research at Prabhudas Lilladher believes that Nifty today is standing at crucial 50 EMA support. Prabhudas Lilladher expert went on to add that any decisive breach below 19,270 to 19,250 levels may further weaken the Indian stock market bias and the index may go down towards 18,900 to 18,800 zone once it breaches the 50 EMA support decisively. On stocks to buy today, Vaishali Parekh recommended three intraday stocks for today and those day trading stocks are Schneider Electric, IOL Chemicals and Pharmaceuticals and Olectra Greentech.

On outlook for Nifty today, Vaishali Parekh said, "Nifty opened on a weak note and hovered near the crucial support zone of 19,270 levels which is also where the significant 50EMA lies, and as we have been mentioning, a decisive breach below the 19,250 to 19,270 zone shall weaken the overall bias and can trigger for further slide with next major support zone visible near 18,800 to 18,900 levels with 19,000 as the psychological landmark in-between."

"Bank Nifty also breached below the important 50EMA level of 44,500 zone and ended near the 44,250 levels weakening the bias and further ahead, has the crucial major support near 43,400 levels which if decisively breached can trigger for fresh selling pressure to anticipate for further slide," Parekh said.

Parekh went on to add that immediate support for Nifty today is placed at 19,100 levels while the resistance is seen at 19,400 levels. Bank Nifty would have the daily range of 43,700 to 44,700 levels.

Stocks to buy today

1] Schneider Electric: Buy at ₹339, target ₹353, stop loss ₹332;

2] IOL Chemicals and Pharmaceuticals: Buy at ₹376, target ₹390, stop loss ₹370; and

3] Olectra Greentech: Buy at ₹1211.50, target ₹1265, stop loss ₹1190.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decisions.