SELL NIFTY | TARGET: 11,020 | STOP LOSS: 11,230
The Nifty index broke its neckline on the hourly chart which was placed at 11,200 levels. The momentum indicators and oscillators reached overbought territory on the daily chart which hints at some distribution at higher levels. On the derivative front, a huge amount of call writing was seen at 11,200 strikes which will act an immediate resistance. Thus, aggressive traders can initiate a short position with a strict stop loss of 11,200.
SELL PEL | TARGET: Rs 1,300 | STOPLOSS: Rs 1,410
The stock has provided breakdown from a rising trend line on the daily chart. The neckline is placed at 1,410 levels which will now act as an immediate hurdle. It is also facing the resistance of its short term 21-DMA, which is also placed at 1420 levels. The momentum oscillator MACD has provided sell crossover on the daily chart. Based on the aforementioned rationale, we can expect some more weakness in the counter.
BUY TATAELXSI | TARGET: Rs 1,040 | STOP LOSS: Rs 925
The stock is trading well above its short-term and long-term moving averages. It is also making a higher top and a higher bottom pattern on the daily chart. The overall structure indicates that it is likely to test its previous swing high which is placed at 1,040 levels. The momentum indicator and oscillator are in buy mode on the daily chart, which hints of further positive momentum in the counter.
BUY GLENMARK | TARGET: Rs 470 | STOP LOSS: Rs 420
The stock provided breakout from a symmetrical triangle formation with higher than average volume which also supported the price action. It has reclaimed its short term 21-DMA which is placed at 420 levels. The MACD has provided a buy crossover on the daily chart which hints of a further positive momentum in the counter.
Disclaimer: Nilesh Jain is Technical and Derivatives Research - Equity Research at Anand Rathi Shares and Stock Brokers. He may have positions in one or all of the above mentioned stocks.Views are personal.