Market traded higher on Friday as Iran-US tensions eases; Nifty closed at record high
Market traded with positive sentiments throughout the day on Friday due to easing global tensions, appreciating Rupee, and easing gold prices. These helped market move to a record high. The Nifty closed at 12,256.80, surging 40.90 points. Realty, Metal, and auto stocks traded with positive sentiments through the day whereas, private banks witnessed some pressure during the session. Niftybank closed at 32,097.40, adding 5 points from the previous day’s closing.
As per weekly option data, there are a handful of call writing on higher strikes ranging from 12,300 to 12,500 which shows that the Nifty is witnessing stiff resistance in the sub-12,300 zones. The market is likely to trade in the range of 12,100 to 12,300 until 12,300 level is not breached as it holds the highest call OI.
However, if somehow the Nifty breaches the level of 12,300, it will lead to short covering move up to 12,400. Therefore, traders should try to buy at every dip keeping a close eye on 12,200 -- which holds the highest put OI for the weekly expiry.
We can see a big momentum in the following stock:
Buy Marico Limited: Above Rs 340
Target: Rs 358
Stop loss: Rs 327
The stock is trading at major support level in daily charts and is witnessing reversal signs from this level. Resistance from the levels of 340 will lead to a bullish movement. We recommend buying the stock at Rs 340 for the target of Rs 358, keeping a stop loss at Rs 327 on a closing basis.
Disclaimer: The analyst does not hold position in any of the stocks mentioned above.