Nifty closing below 11,600 shows some exhaustion at higher levels with volatility index also near the peak levels of around 21. The index has its near term support of 11,540, a decisive break of which could drag it to 11,400. Bank Nifty, too, is failing to sustain at higher levels. The support for the day is seen at 38,300/11,520 for Sensex and Nifty, respectively, while resistance is seen 38,870/11,640.
Bank Nifty would have a range of 29,500-30,100. Pharma sector has shown some signs of revival with Cipla, Auro, Cadila etc. looking positive along with auto sector with stocks like M&M, Bajaj Auto showing signs of momentum.
BUY JUBILANT LIFE
CMP: Rs 686.85
TARGET: Rs 740
STOP LOSS: Rs 660
The stock has witnessed a decent correction recently and is taking the support near Rs 650 levels. It has bounced back to form a lower top at Rs 727 levels and currently has again formed a higher bottom formation pattern in the daily chart to signify strength and has potential to rise further in the coming days. With the relative strength index (RSI) also indicating a trend reversal to signal a buy, we recommend a buy in this stock for an upside target of Rs 740 keeping a stop loss of Rs 660.
CMP: Rs 546.45
TARGET: Rs 575
STOP LOSS: Rs 515
The stock has made a higher bottom formation taking support near Rs 515 levels and has bounced back indicating a positive bullish candle to imply strength to take the stock to further upward levels in the coming days. The RSI is on the rise and with favourable indicators, the chart looks attractive. We recommend a buy in this stock for an upside target of Rs 575 keeping a stop loss of Rs 515.
Disclaimer: The analyst may have positions in any or all the stocks mentioned above.