By Shrikant Chouhan
On last Tuesday, the benchmark indices witnessed lackluster activity, the nifty ended 10 points lower while the Sensex down by 78 points . Among Sectors, Auto stocks witnessed some buying interest whereas after a sharp uptrend rally, intraday profit booking were seen in PSU Banks stocks. Technically, currently the benchmark indices witnessing narrow range activity. On daily charts, the index has formed inside body candle that also indicates continuation of range bound texture in the near future.
For the day traders now, 19,735 would be the immediate resistance level while 19,620 would act as a key support zone. Above 18,735 they could move up till 19,780-19,800. On the other side, Below 19,620 the market could slip till 19,550-19,520. The current market texture is non-directional hence levels based trading would be the ideal strategy for the day traders.
India launches its first reusable hybrid rocket ‘RHUMI-1’ for climate research Market rally leads to higher regulatory fees for stock exchanges Discover the Edge of Innovation with Flipkart’s Exclusive AI PC Deals Silver Jubilee on Nifty! Nifty scales 25,000; third fastest 1000-point rally in 24 days
Also Read
Stock Recommendations
TATA Power
BUY I CMP Rs 260.6 I TARGET Rs 275 I SL Rs 254
After the sharp up move, the stock witnessed selloff and dropped on the lower side. However, it has found support and is consolidating near the important retracement zone. Therefore, the bullish trend is very likely to resume from the current levels in the near term.
Marico
BUY I CMP Rs 586 I TARGET Rs 620 I SL Rs 570
The counter is into a gradual up move with a higher low series on the daily chart. Additionally, it has formed a Cup and Handle chart pattern with a decent volume activity. Therefore, the breakout of the range for moving further upside is very likely to occur in the coming horizon.
Bharat Electronics
BUY I CMP Rs 137.75 I TARGET Rs 145 I SL Rs 134
The stock witnessed short-term correction from the higher levels in the past few sessions. However, the downside seems to be restricted due to the multiple support zone. Recent reversal formation with decent volume activity indicate the stock is further gaining the bullish traction. Hence, we expect the uptrend to resume from the current levels.
Also Read
Jubilant FoodWorks
BUY I CMP Rs 544.45 I TARGET Rs 570 I SL Rs 530
For the past few weeks, the stock is into a range bound mode with a higher low series formation. Meanwhile, on the daily scale, it has formed an ascending triangle chart pattern. The structure indicates breakout from the current levels and the beginning of a new up move in the counter.
(Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities. Views expressed are author’s own. Please consult your financial advisor before investing.)
