Go for level-based trading

Mumbai, Oct 13

Today, the benchmark indices witnessed a recovery from lower levels. The Sensex was down by 173 points. Among sectors, the Défense index lost the most, shedding over 1 per cent, whereas despite weak market sentiment, the Capital Market index outperformed, rallying 2.55 per cent. Technically, after a gap-down open, the market took support near 82,000 and bounced back sharply. From the day's lowest levels, the market bounce nearly 400 points.

“We believe that the intraday market texture is volatile and non-directional;” says Shrikant Chauhan of Kotak Securities.

Hence, level-based trading would be the ideal strategy for day traders. On the downside, 82,000 and 81,800 would act as key support zones, while 82,500-82,800 could serve as immediate resistance areas for the bulls. However, below 81,800, the market could retest the level of 81,500.

Stock Picks

KFintech – Buy | CMP: ₹1,143 | SL: ₹1,090 | Target: ₹1,250

KFintech is showing resilience near its short-term support and forming a strong base for the next leg up. Momentum indicators remain positive, hinting at sustained strength. A close above ₹1,150 could lead to a quick move toward ₹1,250. Maintain a stop-loss at ₹1,090.

BSE Ltd – Buy | CMP: ₹2,476 | SL: ₹2,300 | Target: ₹2,950

BSE continues to show strong bullish momentum with robust volume participation. The trend remains positive with the stock forming higher highs. Sustaining above ₹2,450 may drive the next rally toward ₹2,950. Traders should keep a stop-loss at ₹2,300.

(Source _ Mehta Securities)

EoM.