Nifty and Bank Nifty have witnessed a highest single day fall since 8th July 2019. Nifty violated its 5 days EMA on closing basis. Any level below 10,900 in Nifty and 27,680 in Bank Nifty, respectively, would intensify the selling pressure. Resistance would continue to be there around 11,200 levels in Nifty.
BUY MARICO (Rs 392)
TARGET: Rs 415
STOP-LOSS: Rs 375
Last week, stock surpassed a crucial resistance of 388, which happens to be the multiple tops on the weekly charts. Stock is on the verge of registering new all time high above 396.6. Moving Average and Oscillator Setup is bullish on the weekly and monthly charts.
We recommend buying the stock at CMP, for the target of Rs 415, keeping a stop loss at Rs 375 on closing basis.
BUY SUNPHARMA (Rs 438)
TARGET: Rs 470
STOP-LOSS: Rs 420
Stock price has broken out from the consolidation with the higher volumes on the daily charts. Stock has been registering higher tops and higher bottoms on the short term charts.
We recommend buying the stock at CMP, for the target of Rs 470, keeping a stop loss at Rs 420 on closing basis.
The author is a research analyst working with HDFC Securities. Views expressed are his own.