As mentioned earlier all sectors have got into corrective now with IT which looked promising too showing exhaustion at higher levels. Nifty on the daily chart with today’s candle has broken the recent rally’s trend line which would now mean that upside is capped at around 10750 levels. The support for the day is seen at 35040/10530 while resistance is seen at 35560/10660. Bank Nifty would have a range of 25900-26470. The view remains corrective for now.
BUY RALLIS INDIA
CMP: Rs 170.55
TARGET: Rs 190
STOP LOSS: Rs 160
The stock has formed a bottom formation at around 160 levels and has bounced back with a positive candle pattern in the daily chart with increasingly rising volume pattern and has signified strength and has potential to rise further in the coming days. The RSI has recovered significantly from the oversold zone and has been on the rise and with favourable indicators supporting, we recommend a buy in this stock for an upside target of 190 keeping a stop loss of 160.
CMP: Rs 923.25
STOP LOSS: Rs 890
The stock has been consolidating for quite some time gaining potential and strength and has recently made a bottom at 855 levels and we anticipate a bounce from here on to scale new heights upward. The chart looks impressive and with improving volume activity witnessed, we recommend a buy in this stock for an upside target of 1000 keeping a stop loss of 890.
Disclaimer: The analyst may have positions in any or all the stocks mentioned above.