Nifty and Bank Nifty
Both Nifty 50 & Bank Nifty have had a bearish week and we expect this trend to continue over the coming week. The charts suggest moderate bearishness in the price action over the next week.
This week Nifty has closed below its crucial level of 17,200. We are expecting Nifty to test 16700 in the coming few trading sessions. Bank Nifty is trading near its support zone. Any close below 35,700 may take Bank Nifty to 34,800 levels.
Nifty50 |
Nifty Bank |
Nifty FMCG
Nifty FMGC entered into a new bearish wave. We are expecting the bearish trend to continue for the coming week.
Nifty FMCG |
Nifty IT
The IT is trading near its support zone. We may see some consolidation in this sector for the coming week.
Nifty IT |
Derivative Outlook
Nifty current month future closed with a premium of ~4 points to its spot. Next month's future is trading at a premium of around ~70 points.
We saw open interest addition of nearly 6 percent in Nifty.
Long Formation
Short Formation
Short Formation |
Top five recommendations
DR REDDY
DRREDDY is trading in the consolidation zone on daily chart. Currently it is consolidating at the support level of 4455 level which indicates probability of breakout. Any sustainable breakout of consolidation zone that is 5080 level will have a good buying opportunity.
Buy DRREDDY above 5080 CMP 4750.90
Target 1 - 5712
Target 2 - 5029
Stop loss: 4605
IBULHSGFIN
IBULHSGFIN is trading in the tight range of 260 and 200 levels. Multiple times Price had given the rejection from the upper levels which indicates level of 265 is strong resistance level. Breakout of strong resistance that is 265 level will have a good upside momentum.
Buy IBULHSGFIN above 265 CMP 246.55
Target 1 - 310
Target 2 - 332
Stop loss: 220
UPL
UPL is trading at its support zone of 707 and 690 level. Breakdown of support level that is below 690 level will have a good shorting opportunity.
Short UPL below 690 CMP 703.80
Target 1 - 640
Target 2 - 615
Stop loss: 740
GLENMARK
Glenmark is trading in the range of 550 and 460 level. It had given a breakout above range of 550 level but it could not sustain which indicates bearishness as it resisted multiple times from resistance level. Below 514 level will have a good shorting opportunity.
Short GLENMARK below 514 CMP 532.20
Target 1 - 478
Target 2 - 460
Stop loss: 550
GODREJPROP
Godrej Properties is resisting from its previous support levels. Below 2065 level good opportunity to go short as it’s breaking previous swing low which indicates downtrend.
Short GODREJPROP below 2065 CMP 2095.75
Target 1 - 1860
Target 2 – 1757
Stop loss: 2270
