Friday’s Stock Market Outlook: Day Trading Guide for October 6^th

Written by Sanjay Kumar

After two consecutive days of losses, the Indian stock market rebounded on Thursday (October 5), showing significant recovery across all three key benchmark indices. However, the mid-cap index experienced a marginal decline. Here are the key highlights:

Nifty 50

• Gain: 109 points
• Closing Level: 19,545

BSE Sensex

• Gain: 405 points
• Closing Level: 65,631

Nifty Bank

• Gain: 249 points
• Closing Level: 44,213

According to Siddhartha Khemka, Head of Retail Research at Motilal Oswal, the rally in Indian equities was influenced by global trends and robust domestic service PMI data. The market saw a recovery after two days of declines, with particular buying interest in Auto, IT, and Consumer Durables sectors. Despite the bounce back, market uncertainty persists, potentially keeping Nifty range-bound.

Day Trading Guide

Nifty 50 Outlook

Nagaraj Shetti, Technical Research Analyst at HDFC Securities, pointed out that a negative chart pattern with lower tops and bottoms remains intact on the daily timeframe chart for Nifty 50. Further upside could lead to new lower top formation, with a potential move towards 19,726 levels. However, any failure to sustain these highs may trigger fresh weakness.

Bank Nifty Outlook

Vaishali Parekh, Vice President of Technical Research at Prabhudas Lilladher, noted that Bank Nifty staged a decent pullback ahead of the RBI policy meeting, closing above the 44,200 zone, which improved the bias to some extent. To further improve the trend, a decisive breach above the 44,800 zone (the important 50EMA level) is necessary.

Nifty Call Put Option Data

Chinmay Barve, Head of Technical & Derivatives Research at Profitmart Securities, highlighted the following data for Nifty Call Put Options:

Major Call open interest at 19600, 19700, and 19800 strikes.

Total open interest of 87,123, 62,819, and 61,616 contracts, respectively.

Significant Call open interest addition at 19600 strike, with 53,195 contracts added.

Regarding Put Options

Major Put open interest at 19500 and 19400 strikes.

Total open interest of 96,732 and 62,654 contracts, respectively.

Major Put open interest addition at 19500 strike, with 71,695 contracts added.

Bank Nifty Call Put Option Data

Chinmay Barve of Profitmart Securities provided insights into Bank Nifty Call Put Option data:

Major total Call open interest at 44300, 44400, and 44500 strikes.

Total open interest of 117,274, 133,062, and 126,691 contracts, respectively.

Major Call open interest addition at 44300 and 44400 strikes, with 77,216 and 99,468 contracts added in open interest.

For Put Options:

Major total Put open interest at 44200 and 44000 strikes.

Total open interest of 96,736 and 149,636 contracts, respectively.

Major Put open interest addition at 44200 strike, with 79,602 contracts added.

Day Trading Stock Recommendations

Here are the intraday stock recommendations from market experts:

Sumeet Bagadia (Executive Director at Choice Broking) Picks

1 – AU Small Finance Bank

• Buy at ₹714.40
• Target: ₹757
• Stop Loss: ₹688

2 – BSE LTD

• Buy at ₹1,326.10
• Target: ₹1,430
• Stop Loss: ₹1,270

Ganesh Dongre (Senior Manager — Technical Research at Anand Rathi) Picks

3 – DLF

• Buy at ₹525
• Target: ₹540
• Stop Loss: ₹510

4 – ITC

• Buy at ₹437
• Target: ₹450
• Stop Loss: ₹432

Kunal Kamble (Sr.Technical Analyst at Bonanza Portfolio) Picks

5 – Hindustan Unilever Ltd (HUL)

• Buy at ₹2,519.55
• Target: ₹2,570
• Stop Loss: ₹2,494

6 – Sun TV

• Buy at ₹634.15
• Target: ₹700
• Stop Loss: ₹602

Please note that these recommendations are for intraday trading and should be considered in the context of your own investment strategy and risk tolerance.

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The post Friday’s Stock Market Outlook: Day Trading Guide for October 6th first appeared on Business Connect Magazine.