Best intraday stocks to watch out for on February 08

The Nifty has formed a lower high and lower low candle as Tuesday's price action is limited to Friday's range.

This is the fourth successive day of the inside price action of the Budget day range. The price action is in line with our earlier forecast. The behaviour indicates this inside action may continue for at least another two days. The index closed below the 5EMA. With this, the index is trading below all short-term averages. It is sustaining below the 8EMA and 20DMA. The Nifty declined by 158 points from the opening highs. With some positive news flow (Fitch Report) suddenly surged to positive territory. Lack of conviction on the upside, the immediate profit booking forced to close the negative zone. The Index breadth is negative, and the Small and Midcaps also declined sharply. If the sideways action continues for more days, the breakout of the budget day range will give a shaper move in the breakout direction. At least, the index must move out of Friday's range of 17584-870. Wait for the breakout for a directional trade. Till then, apply neutral strategies in indices.

SIEMENS

The stock closed at a new high with new high Relative Strength, showing the outperformance. It also closed at the resistance of 21-week Stage-2 consolidation. As it closed at a new pivot, trading above all short and long-term moving averages. It is 7.11% above the 50DMA and 4.53% above the 20DMA. All the averages are in the uptrend. The Elder impulse system has formed a strong bullish bar. The MACD has given a fresh buy signal. RSI is in a strong bullish zone. The TSI is also given a fresh bullish signal. In short, the stock is in a strong bullish set-up. A move above Rs 3121 is positive, and it can test Rs 3309. Maintain a stop loss at Rs 3090.

ESCORTS

The stock has formed a descending triangle and closed at the crucial support of parallel lows. Trading below all key moving averages and moving average ribbon. It is 3.68% below the 20DMA and 6.82% below the 50DMA. The MACD is showing strong bearish momentum, and it is below the zero line. The higher volume indicates the distribution and a possible breakdown. The RSI failed to move above the 50 zone and at a critical level. The Elder impulse system has formed a strong bearish bar. The KST and the TSI are in the bearish set-up. In short, the stock is about to break down the descending triangle pattern. A move below Rs 2005 is negative, and it can test Rs 1960. Maintain a stop loss at Rs 2040.