Support for Nifty shifts higher to 19,480; resistance seen at 19,766

Among individual stocks, Vinay Rajani, technical & derivative analyst of HDFC Securities, recommends a Buy on Gujarat Alkalies and MSTC.

Nifty View

By surpassing the resistance of 19,675, Nifty has formed higher top and higher bottom on the daily chart. Support for the Nifty has shifted to 19,480, which happens to be the recent swing low. On the upside, resistances for Nifty are seen at 19,766 and 19,867.  

BUY

Gujarat Alkalies

Last close: Rs 720

Target: Rs 783

Stop-loss: Rs 665

The stock price has broken out from descending triangle on the daily chart. Price breakout is accompanied with jump in volumes. Stock price is placed above its 20, 50 and 200 DMA, indicating bullish trend on all time frame.

The stock has been forming higher tops and higher bottoms on the weekly charts. Indicators and Oscillators like MACD and RSI have turned bullish on the weekly charts.

BUY

MSTC

Last close: Rs 432

Target: Rs 468

Stop-loss: Rs 413

The stock has broken out from downward sloping trend line on the daily charts. Primary trend of the stock is bullish as it has been forming higher tops and higher bottoms on the weekly charts.

The stock is placed above all important moving averages. Indicators and oscillators have turned bullish on the weekly chart.

(Vinay Rajani, CMT, Senior Technical & Derivative Analyst, HDFC Securities. Views expressed are personal).