Post Tuesday’s throwback from the 15,430 zone, the Nifty fell below 15,200 in today’s trade. However, on the flip side, Nifty defended its 7-day EMA levels, which are intact since the start of the current month. Nifty breadth remained flat to negative. Follow-up action needs to be closely watched out as sustenance above 15,200 could attract some consolidation at upper band.
Meanwhile, the intraday rally in the Bank Nifty remained short lived, finding stiff resistance near 37,300, while on the flipside, the Bank Nifty managed to defend prior session’s low (i.e. 36,763). Immediate floor for Bank Nifty is seen near the 36,500 zone.
Within the banking space, PSU Bank index stood out strongly, posting gains of 6%. The ongoing outperformance of PSU banks is likely to continue. Snapping four sessions’ losing streak, bulls regained momentum in the media space. Positive follow-up action could attract buyers’ interest.
near Rs 374
Stop loss: Rs 362
Target: Rs 400
The stock has witnessed a positive breakout during the start of the month and since then it is holding ground above short-term averages. Sustenance above Rs 370 is likely to unlock further upside potential.
Buy Uflex Ltd near Rs 366
Stop loss: Rs 355
Target: Rs 387
Post a few days of consolidation, the stock has regained momentum on the upside. Positive follow-up action could mean resumption of uptrend.
Amit Trivedi is CMT, Technical Analyst – Institutional Equities, YES Securities. Views are his own.