Intraday Trading Strategies: Nifty 50 Stocks for 21/09/2020 and Beyond
Introduction to Intraday Trading
Intraday trading is a form of stock trading where traders buy and sell securities within the same trading day. Strategic stock selection is crucial for success in intraday trading. This article will guide you through selecting stocks from the Nifty 50 list, based on key criteria such as top gainers and losers, gap up and down stocks, high volatility, and high volume. We will also provide insights into the current trading scenario on 22 Oct 2020 and offer suggestions for stocks to watch for the next trading session.
Stock Selection Criteria for Intraday Traders
1. Nifty 50 Stocks: The Nifty 50 index comprises 50 of the largest and most liquid companies in the Indian stock market. These stocks are ideal for intraday traders due to their liquidity and stability.
2. Top Gainers and Losers: Going to the NSE India website, you can find the top gainers and losers. These stocks are often the subject of immediate speculative trading.
3. Gap Up and Gap Down Stocks: Gap up and gap down stocks are those that open at a price significantly higher or lower than the previous day's closing price. They tend to have strong potential for momentum trading.
4. High Volatility and High Volume: High volatility indicates a stock's price is likely to experience significant changes, making it attractive for traders looking to capitalize on short-term fluctuations. Stocks with high volume provide liquidity and can help manage positions more effectively.
Current Trading Scenario on 22 Oct 2020
As of 11:06 AM, TornTPower is trading at 313.50. Based on the current market sentiment, here are my recommendations for intraday trading:
Sell short TornTPower @ 313.50 for a good intraday gain.Please note that these views are for educational purposes only and are not to be construed as actual investment advice. It is essential to consult your financial advisor before making any investment decisions.
Stocks to Watch for Tomorrow’s Trading Session
Here are some stocks that may perform well in tomorrow’s trading session:
High-Potential Stocks
KOTAKBANK ADANIPORTS INFY LT HINDPETRO BHARTIAIRTELChoosing banks might be a safer option, considering the recent performance of pharmaceutical companies. Here are a few specific choices:
Indusland Bank - 640Rs Range HDFC Bank - 1200 Range SBI - 206 Range Karnataka Bank - 43 RangeFor those interested in more diversified options, here are some of my personal favourites:
Jindal Steel RBL Bank Ujjivan Finance Apollo Tyres Zee Entertainment Infratel Hindalco Tata MotorsTrending Stocks for 20th October
The Indian index opened a gap-up and traded positively, supported by global cues. Nifty formed a Doji pattern, indicating indecisiveness among bulls and bears. Below are the key levels to watch:
Nifty sustained above 11910 indicates intraday strength extending towards 11955 and then 12023. Nifty failing to sustain above the bullish gap zone of 11820–11789 can drag the index towards 11650.For the next trading day, consider the following stocks:
Wipro Mphasis INFY ICICI Bank INDUSIND Bank JSW Steel PIDILITE NaukriThese stocks showcase a diverse range of sectors and are worth keeping an eye on for potential intraday gains.