Nifty has so far managed to hold the support of 11,540 levels with stock-specific movement seen in rotation. Bank Nifty also going through choppiness while auto sector and NBFC are looking positive along with FMCG. The support for the day is seen at 38,300/11,530 for Sensex and Nifty, respectively, while resistance is seen at 38,880/11,660. Bank Nifty would have a range of 29,500-30,080. All eyes shall be now on TCS and Infosys with the start of results season.
BUY BAJAJ FINANCE
CMP: Rs 3,047.85
TARGET: Rs 3,200
STOP LOSS: Rs 2,980
The stock on several occasions has formed a higher bottom pattern and rallied from the support taken to form a new high. Similarly, a higher bottom formation is indicated currently taking support near Rs 2,980 levels and the relative strength index (RSI) is also on the verge of a trend reversal to imply further strength and potential to rise in the coming days. With good volume participation witnessed, we recommend a buy in this stock for an upside target of Rs 3,200 keeping a stop loss of Rs 2,980.
CMP: Rs 74.35
TARGET: Rs 80
STOP LOSS: Rs 71
The stock has made a higher bottom formation taking support near the significant 200-DMA and has produced a bullish candle to signify strength and has made the chart look attractive with a positve bias maintained. With also the RSI indicating a trend reversal to signal a buy and with good decent volume activity witnessed, we recommend a buy in this stock for an upside target of Rs 80 keeping a stop loss of Rs 71.
Disclaimer: The analyst may have positions in any or all the stocks mentioned above.