Nifty has once again taken support around the 10850 level as of now and the chances of breaking this support cannot be ruled out with the sentiment and bias being weak. BankNifty too has maintained the previous support zone of 24900 levels and some select stocks like HDFC Bank, Axis Bank and Kotak Bank look promising. However, the support for the week is seen at 35620/10720 while the resistance is seen at 37000/11180 levels. BankNifty would have a range of 24460-25900.
BUY HDFC BANK
CMP: Rs 2,006.05
TARGET: Rs 2,150
STOP LOSS: Rs 1,950
The stock has witnessed a decent correction from the peak of 2211 levels and has now bottomed out at around 1915 and thereby given a good revival signifying strength and has potential to rise further in the coming days. The RSI has indicated a trend reversal from the oversold zone and has signalled a buy. With consistent volume participation witnessed and the chart looking attractive we recommend a buy in this stock for an upside target of 2150 keeping a stop loss of 1950.
CMP: Rs 745.20
TARGET: Rs 825
STOP LOSS: Rs 710
The stock has shown a higher bottom formation like pattern in the daily chart and has maintained above the significant 200 DMA moving average indicating strength and maintained a positive bias. The RSI also after the positive trend reversal is on the rise and has potential for the stock to rise further in the coming days. With good volume activity witnessed, we recommend a buy in this stock for an upside target of 825 keeping a stop loss of 710.
Disclaimer: The analyst may have positions in any or all the stocks mentioned above.