The Nifty50 which reclaimed its crucial psychological resistance level of 10,600 made a bullish candle on the daily charts on Thursday. The index took support at its 5-days exponential moving average (DEMA) for the third day in a row.
However, Nifty witnessed selling pressure around its crucial resistance level of 10630-10640. Hence, for bulls to regain control of D-Street, a close above 10640 is required which would open fresh target towards 10900 in May series, suggest experts.
Option data suggests an immediate trading range in between 10500 to 10700 and traders are advised to remain on the long side. Level of 10500 will act as crucial support for the index. Investors should keep a trailing stop loss below 10,530 for long positions.
On the option front, for the May series option data scattered at various strike prices since it’s the beginning of new series. Maximum Put OI is at 10500 followed by 10400 strikes while maximum Call OI is at 11000 followed by 10800 strikes.
Fresh Put writing was seen at 10500 and 10600 strikes while significant Call writing was seen at 11000 and 10700 strikes.
According to Pivot charts, the key support level is placed at 10,575.54, followed by 10,533. If the index starts moving upward, key resistance levels to watch out are 10,644 and 10,670.
The Nifty Bank index closed at 25,010, up 196 points. The important Pivot level, which will act as crucial support for the index, is placed at 24,821, followed by 24,632. On the upside, key resistance levels are placed at 25,132, followed by 25,252.
Below are the top trading ideas by market experts which can give good returns today:
Hadrien Mendonca of IIFL
Buy Manappuram Finance with target at Rs 129 and stop loss at Rs 115.5
Buy DCB Bank with target at Rs 213 and stop loss at Rs 187.5
Buy Escorts with target at Rs 1047 and stop loss at Rs 917
Prakash Gaba of prakashgaba.com
Buy Havells India with target at Rs 553 and stop loss at Rs 540
Buy Hindustan Unilever with target at Rs 1525 and stop loss at Rs 1475
Buy ITC with target at Rs 282 and stop loss at Rs 275
Buy Ujjivan Financial Services with target at Rs 412 and stop loss at Rs 398
Rajesh Agarwal of AUM Capital
Buy Yes Bank with target at Rs 365 and stop loss at Rs 341
Buy Tata Steel with target at Rs 589 and stop loss at Rs 569
Buy Wockhardt with target at Rs 810 and stop loss at Rs 780
Buy Jain Irrigation Systems with target at Rs 122 and stop loss at Rs 111
Sell Axis Bank with target at Rs 480 and stop loss at Rs 505Disclaimer
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