The Nifty slipped below its crucial 50-EMA but took support at its 100-day moving average placed at 10,571. Bears have tightened their hold on D-Street, which is evident from the fact that the widely tracked Supertrend indicator gave a sell signal on the charts yesterday.
Bank Nifty continued its selling pressure and has been making lower highs - lower lows from last three trading sessions. As long as the index remains below 26,500 it could drift towards 26,100 and then 25,950 while on the upside major hurdles are seen at 26,500 then 26,750 zones.
The Nifty index opened at 10,660 and rose marginally to hit an intraday high of 10,674 but then bears took control of D-Street and took the index below 10,600 levels. The Nifty hit a low of 10,557 before closing the day at 10,589, down 82 points.
India VIX moved up by 3.24 percent at 13.95 levels. The spurt in VIX indicates that bears have taken a grip on the market and selling pressure seen even in many heavyweights stocks in line with the weakness in the global market.
According to Pivot charts, the key support level is placed at 10,539.8, followed by 10,490.5. If the index starts moving upwards, key resistance levels to watch out are 10,656.3 and 10,723.5.
The Nifty Bank index closed at 26,324.6 on Thursday. The important Pivot level, which will act as crucial support for the index, is placed at 26,161.13, followed by 25,997.67. On the upside, key resistance levels are placed at 26,487.93, followed by 26,651.27.
Here are the top stock trading ideas which can give good returns in the near term:
Hadrien Mendonca of IIFL
Buy JSW Steel with target at Rs 348 and stop loss at Rs 310.5
Buy Godrej Consumer Products with target at Rs 1,306 and stop loss at Rs 1,170
Buy Infosys with target at Rs 1,386 and stop loss at Rs 1,233
Rajesh Agarwal of AUM Capital
Buy TVS Electronics with stop loss at Rs 346 and target of Rs 372
Buy Kotak Mahindra Bank with stop loss at Rs 1325 and target of Rs 1355
Buy Larsen & Toubro with stop loss at Rs 1210 and target of Rs 1262
Sell Indraprastha Gas with stop loss at Rs 250 and target of Rs 232
Sell KPIT Technologies with stop loss at Rs 271 and target of Rs 255
Disclaimer: The views and investment tips expressed by investment experts on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
