The Nifty50 not only broke below its crucial support placed at 10,500 level on Wednesday but also its 50-day moving average at 10,460 which resulted in a strong bearish candle on the daily charts.
As long as Nifty50 trades below 10,500 levels, bears will remain in control and the selling pressure could take the index towards 10,350 levels on the downside, suggest experts. The next crucial support is placed at 200-DMA around 10,240.
The Nifty50 remained under pressure from the word go. It opened at 10,521 and rose marginally to hit an intraday high of 10,533. It hit an intraday low of 10,417 before closing the day 106 points lower at 10,430.
According to Pivot charts, the key support level is placed at 10,387.57, followed by 10,344.83. If the index starts moving upwards, key resistance levels to watch out are 10,503.27 and 10,576.23.
The Nifty Bank index closed at 25,684.95, down 0.36 percent on Wednesday. The important Pivot level, which will act as crucial support for the index, is placed at 25,570.1, followed by 25,455.3. On the upside, key resistance levels are placed at 25,851.8, followed by 26,018.7.
In an interview to CNBC-TV18, Ashwani Gujral, Sudarshan Sukhani and Mitessh Thakkar recommends which stocks to buy, sell or hold for handsome returns
Ashwani Gujral of ashwanigujral.com
Buy Britannia Industries with a stop loss of Rs 5650, target of Rs 5830
Buy NIIT Tech with a stop loss of Rs 1060, target of Rs 1100
Sell Century Textiles and Industries with a stop loss of Rs 944, target of Rs 910
Sell SRF with a stop loss of Rs 1820, target of Rs 1765
Sell Jindal Steel & Power with a stop loss of Rs 231, target of Rs 216
Sudarshan Sukhani of s2analytics.com
Buy Mahindra & Mahindra with stop loss at Rs 820 and target of Rs 850
Buy Mindtree with stop loss at Rs 1020 and target of Rs 1065
Buy Godrej Consumer Products with stop loss at Rs 1090 and target at Rs 1135
Sell LIC Housing Finance with stop loss at Rs 480 and target at Rs 465
Sell BEML with stop loss at Rs 945 and target at Rs 885
Mitessh Thakkar of mitesshthakkar.com
Buy Godrej Consumer with a stop loss of Rs 1087 and target of Rs 1140
Sell PVR with a stop loss of Rs 1370 and target of Rs 1300
Sell Steel Authority of India around Rs 69-69.5 with stop loss of Rs 72 and target of Rs 64
Buy State Bank of India with a stop loss of Rs 252 and target of Rs 285
Sell Zee Entertainment below Rs 549.5 with stop loss of Rs 560 and target of Rs 525Disclaimer
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