Best intraday stocks to watch out for on 12-April-2023

Nifty negated last trading sessions shooting star's bearish implications by closing above its high on Tuesday. But the candle formation of the daily chart yet again give us suspicion of continuation of uptrend as it has formed a hanging man candle.

As we projected, the Nifty has reached the first target of 17758. From now, the upside potential is limited to another 100-150 points. In the last seven days, the Nifty rallied almost 800 points or 4.7%. Currently, the index does not show any weakness in the trend, but tiredness is clearly visible. A spike in the volume shows fresh buying interest. But the decline in open interest is showing unwinding. Except for IT, all the sector indices gained and participated in the upside move.

Interestingly, the 50 DMA is still in the downtrend, and the VIX is declined by another 2.42% to 11.97. This low VIX is dangerous for the current rally. During the downtrend, counter-trend rallies are common, and any profit booking will lead to a sharp decline. The prior swing and the Anchored VWAP resistances are at the same zone of 17781-800. This zone may act as an immediate hurdle. Above this zone, the index can test 18000-18134.

Only in case of a move below the previous day's low will be negative. As the index cannot move in one direction for more than 7-8 days, it is better to stay cautious about the long positions. Avoid long positions now and wait for the right opportunity to trade. Keep trialling stop losses in place.

JINDALSTEL 

The stock has broken out of a falling wedge pattern. For the last two days, volumes were higher. The stock closed above the 20DMA. And trading 1.37% below the 50DMA. The MACD has given a fresh buy signal. The RSI is in the neutral zone and rising. It crossed its 20 periods average is a positive sign. The Elder impulse system has formed strong bullish bars. The momentum is improving in the RRG charts. The KST and TRIX are about to give a bullish signal. In short, the stock has registered a bullish breakout. A move above Rs 565 is positive, and it can test Rs 590. Maintain a stop loss at Rs 555.