Vinay Rajani recommends to hold longs on Nifty with a stop at 18,200

Among individual stocks, the technical & derivative analyst from HDFC Securities is bullish on NLC India and Mazagon Dock.

Nifty View

On December 20, 2022, the Nifty found support around its 50 days EMA and reversed north. An upward sloping trend line, adjoining the swing lows of September 20, 2022 (16,747) and October 13, 2022 (16,956) coincides with the 50 days EMA support.

The Nifty ended the session with a bullish “Hammer” candlestick pattern, which indicates bullish trend reversal. Traders can remain long with 18,200 stop loss in the Nifty.

Resistance for Nifty is seen at 18,650. 

BUY

NLC India

Last Close: Rs 90

Targets: Rs 99; Rs 107

Stop Loss: Rs 83

The stock price has broken out from descending triangle on the daily chart. The stock