The Nifty rose for the second consecutive session, to close at 18,608. After witnessing a correction of more than 540 points from the recent swing high of 18,887, the Nifty has started recovering.
The Nifty has managed to close above its 20-day EMA, which indicates bullish trend. Long positions should be held with the stop-loss of 18,345. Any close above 18,730, would confirm the resumption of an uptrend, which could pull the index towards new all-time high.
The stock price has surpassed previous top of Rs 90 on the weekly chart. The volumes have been rising along with the price rise.
Primary trend of the stock has been bullish with higher tops and higher bottoms on the weekly chart. The Stock is placed above all important moving averages. Indicators like MACD, RSI and ADX have turned bullish on the daily chart
The stock price has broken out from the consolidation which held for previous six sessions. The price breakout is accompanied with rising volumes. Higher tops and higher bottoms on the daily chart.
The stock price is placed above all important moving averages. Banking Sector has been outperforming. Indicators and oscillators have been showing strength on the weekly charts.
(Vinay Rajani, Senior Technical and Derivative Research Analyst at HDFC securities. Views expressed are personal).
 "NSE, national stock exchange, nifty50")
