Business Standard

We remain bearish on Nifty for August series: Sacchitanand Uttekar

Sacchitanand Uttekar - AVP - Technical (Equity), Tradebulls on Nifty Outlook & two Stocks

Sacchitanand Uttekar  |  Mumbai 

markets, stocks, sensex, nifty, bse, nse
Sacchitanand Uttekar – AVP – Technical (Equity), Tradebulls on Nifty Outlook & two Stocks:

Nifty Outlook

On the daily scale, a Head & Shoulder formation seems activated & the index registered consecutive firm close below its neckline. The pattern indicates a target upto 9,800 and a follow through move below 9,800 could amplify the bearish momentum. As we expect the seasonality effect to be witnessed in the current series, we advise participants to book profits wherever possible and await for the corrective wave to pass through. Therefore, we continue to remain bearish for the current series & to maintain shorts so far as 10,050 is not breached from hereon.

Stocks:

Stock Name:  Indiabulls Housing Finance 

Reco: SELL
CMP: Rs 1159
Stop Loss: Rs 1190.30
Target: Rs 1090

Ongoing negative divergence on the weekly scale coupled with the developing Bearish Engulfing formation augurs well for a sustained weakness in the coming days. Fresh shorts could be considered with a stop above 1190.30 for an initial move towards Rs 1090.

Stock Name: IndusInd Bank

Reco: SELL
CMP: Rs 1637
Stop Loss: Rs 1661.30
Target: Rs 1590

Negative sector outlook for the August series along with a Double Top formation on the absolute price scale. We expect the stock to witness a healthy correction towards 1590 and the same could be participated with a stop above Rs 1661.30.

Disclaimer: The analyst may have positions in any or all the stocks mentioned above.


First Published: Thu, August 10 2017. 07:47 IST
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