Nifty outlook and few trading ideas by Vaishali Parekh, research analyst - technical research at Prabhudas Lilladher
Nifty made a low of 10333 levels and as of now, this would act as a support for the time being which if broken can retest the 10000 levels and similarly for Bank Nifty, the low made at around 25600 levels would be the major base. However, the support for the day is seen at 34870/10470 while resistance is seen at 35400/10620. Bank Nifty would have a range of 25870-26420. We maintain a cautious view and go for select stocks.
BUY MAHINDRA & MAHINDRA
CMP: Rs 722.35
TARGET: Rs 790
STOP LOSS: Rs 690
The stock has been maintaining its base at 700 levels and thus is having a strong support at those levels and currently, a positive candle pattern signifies strength and potential in the stock for further upside rally in the coming days with a positive bias. The RSI has also indicated a trend reversal to signal a buy and with good decent consistent volume participation witnessed, we recommend a buy in this stock for an upside target of 790 keeping a stop loss of 690.
CMP: Rs 358.65
TARGET: Rs 390
STOP LOSS: Rs 344
The stock has indicated a higher bottom formation pattern in the daily chart and has made a good support at around 344 levels and now a bullish positive candle has indicated strength and has potential for a further rise in the coming days. The RSI has indicated a trend reversal to signify a positive bias and with good volume participation witnessed, we recommend a buy in this stock for an upside target of 390 keeping a stop loss of 344.
Disclaimer: The analyst may have positions in any or all the stocks mentioned above.