Nifty gets its daily trend down after 3 days while Bank Nifty is still in positive. The weekly trend would also turn negative if Nifty closes below 10746, so in conjunction with also the 200dma a close below 10745 would bring in more correction. The support for the day is seen at 35600/10720 while resistance is seen at 36180/10850. Bank Nifty would have a range of 26880-27470. Metal & Auto sector have turned weak.
BUY SUN PHARMA
CMP: Rs 440.05
TARGET: Rs 490
STOP LOSS: Rs 415
The stock has been consolidating for quite some time between the range of 420 - 435 levels gaining strength and currently has indicated a positive bullish candle in the daily chart to signify a positive bias and has potential to carry on the momentum furthermore upwards in the coming days. The RSI is on the rise and has improved the bias and trend to signal a buy. With good volume participation witnessed, we recommend a buy in this stock for an upside target of 490 keeping a stop loss of 415.
CMP: Rs 89.70
TARGET: Rs 97
STOP LOSS: Rs 85
The stock has been moving within a narrow range at around 87 levels and currently has indicated a positive bias with a move above 89 to cross above the significant 50 DMA moving average to signify strength and has potential to rise further in the near term future. The RSI is positive and with favourable indicators supporting our call and consistent volume participation, we recommend a buy in this stock for an upside target of 97 keeping a stop loss of 85.
Disclaimer: The analyst may have positions in any or all the stocks mentioned above.