With today's sharp up move, the overall mood has become upbeat and momentum is likely to drive Nifty to newer heights. However, how steep can the rally be? Here's what the chart suggests.
The NSE Nifty may face some resistance around 20,130; above which the index can potentially hit a new all-time high soon.
On the broader market outlook, Vinay Rajani technical & derivative analyst of HDFC Securities expects Nifty to scale a new all-time high soon.
Nandish Shah of HDFC Securities recommends to Buy Nifty 19900 CALL and simultaneously sell 20000 CALL of the November series.
According to Ravi Nathani, an independent technical analyst, substantial resistance for the Nifty can be expected between 20,064 and 20,110.
Given the recent consolidation in the market, select key indicators are flashing signs of caution, hence the benchmark indices are likely to be volatile going ahead.
Among individual stocks, Vinay Rajani, technical & derivative analyst at HDFC Securities, recommends to Buy EIH and Doodla Dairy for up to 8 per cent upside.
According to Ravi Nathani, an independent technical analyst, technical indicators on the Nifty 50 chart too are showing a positive trend, hence on can consider to buy Nifty on dips.
According to Ravi Nathani, an independent technical analyst, the NSE Nifty 50 is likely to trade in the 19,350 - 18,800 range.
On the broader market outlook, Vinay Rajani the technical & derivative analyst of HDFC Securities suggests to keep a stop at 19,635 on all long positions in the Nifty.
Similarly, the Bank Nifty is seen consolidating in between the 44,764 - 43,781 points range, says Ravi Nathani, an independent technical analyst.
Among individual stocks, Vinay Rajani, technical & derivative analyst of HDFC Securities, recommends a Buy on Gujarat Alkalies and MSTC.
According to Ravi Nathani, an independent technical analyst, Traders can either await a decisive breakout or opt for a riskier approach by shorting near the upper consolidation boundary.
Buy Nifty 19500 Put option and simultaneously Sell 19300 Put of the 12-October expiry, recommends Nandish Shah, Sr. derivatives & technical research analyst of HDFC Securities.
Among individual stocks, Vinay Rajani, technical & derivative analyst of HDFC Securities, recommends a Buy on Union Bank and GSFC.
According to Ravi Nathani, an independent technical analyst, break of 19,336 on the Nifty could usher in a bearish trend.
HDFC Bank, Reliance Industries, ICICI Bank, Infosys and ITC collectively hold over 42 per cent weightage on the Nifty 50, and are expected to act as trend setters for the benchmark.
Among individual stocks, Vinay Rajani the technical & derivative analyst of HDFC Securities recommends to Buy Infosys and Sun Pharma.
At present, more than 87 per cent of stocks are trading above their 200-DMA in NSE500, which indicates strong market breadth
The expectation is that the Nifty50 index will continue to perform well in the short and medium term, with the potential for reaching new highs