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Expect target of 10,400 for Nifty in the short term: Devang Shah

Recommends buying IOC, LIC Housing Finance, Godrej Industries and L&T

Devang Shah  |  Mumbai 

Top stocks sold and bought by fund managers in August

NIFTY      
CLOSE- 9857.05 (24.08.17)
 

Market consolidated in narrow range during the week & was able to close second consecutive week in positive. It reached a high of 9,884.35 levels & low of 9,740.10 levels during the week. It managed to hold lower end support/reversal levels as mentioned last week. The Street still looks like one more leg on upside is still pending in short term till it reverses.

Alternatively, failure to sustain higher levels will lead to a range-bound trend between 9,500-10,000 levels on Nifty, in short term. Any kind of decline is stock specific buying opportunity for short to perspective.
 
Short-term outlook for the market remains positive till trades above 9,685 levels and expecting of 10,400 levels in the short term. outlook for the market remains positive till trades above 8,968 levels and is expecting targets in the range of 12,000-12,200 levels in
 
Market is still holding on to Dow Throey support on weekly charts. For immediate short term, recent lows of 9,685 on & 31,128 on are strong support for trading perspectives.
 
9,500/9,800- 10,000 levels in strong support & resistance levels respectively on based on derivative option open interest data for expiry perspectives next week. Any kind of decline or short term consolidation is buying opportunity for medium to long term perspectives till reverses.
 
Bank also closed weekly in positive territory. It managed to hold lower end support of 23,900 levels. It made a low of 23,882 levels It has also one more leg on upside is still pending towards short term targets levels till it reverses. Alternatively, it may also remain in range between 23,900-24,500 levels in the short term. It has strong support around 20,649 levels till it holds one can expect higher levels targets till 27,000 levels in
 
Momentum indicators Daily KST & daily MACD both are in sell showing weakness but one should be stock specific & follow the trend with trail levels till it reverses from trading perspectives. Close below short term reversal levels will lead to possible sharp price wise correction till 9,480/9,270 levels on & 30,680/29,800 levels on in short term.
 
Stock Picks:
 
– BUY
CLOSE – Rs 1,131
– Rs 1,150/1,180
 
closed the weekly in a positive territory. It looks like end of short term consolidation.  It managed to hold 200 DMA. Risk reward is favorable to buy at current levels. One can buy with a of Rs 1100 for the of 1150/1180 levels in short term.
 
- BUY
CLOSE – Rs 606
– Rs 625/640
 
closed weekly in positive territory. It looks like end of short term correction Risk reward is favorable to buy at current levels. One can buy with of 572 for the of 625/640 levels in short term.
 
- BUY
CLOSE – Rs 658
– Rs 680/690
 
closed weekly in positive territory. It looks like end of short term correction. Risk reward is favorable to buy at current levels. One can buy with of 635 for the of 680/690 levels in short term.
 
INDIAN OIL - BUY
CLOSE – Rs 427
– Rs 440/450
 
closed weekly in positive territory and has been outperforming in the near term. Its weekly momentum indicators are a BUY. Risk reward is favorable to buy at current levels. One can buy with of 400 for the of 440/450 levels in short term.
 
is the author of www.trendtechno.com (Trade with Trend) and an independent market analyst
Disclaimer: The analyst may / may not have a position in the scrips mentioned above

First Published: Mon, August 28 2017. 08:02 IST
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