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Daily Voice: A break above 11,000 could take Nifty towards 11,300, says Sumeet Bagadia

For the week, one should keep watch on 11000 levels for the Nifty, if the Index breaks this resistance then we will see an upside movement up to the level of 11300.

July 20, 2020 / 08:26 AM IST

For the week, one should keep watch on 11,000 levels for the Nifty. If the Index breaks this resistance, we will see an upside movement up to 11,300 levels, Sumeet Bagadia, Executive Director, Choice Broking, said in an interview with Moneycontrol’s Kshitij Anand.

Edited excerpts:

Q) The market remained volatile last week with 10,800-10,900 levels acting as a major resistance. What led to the price action on D-Street?

A) Yes, throughout the week, the index remained rangebound between the range of 10,550 to 10,900 levels. We also saw some spurt in largecap constituents like RIL, HDFC Bank, HDFC, SBI, and a few others as well based on which the Index managed to climb above 10,900 levels.

If we see the chart of these counters, it is likely that these counters will further help the Index to accelerate its move.

Q) What are the major levels which one can watch out for this week?

A) For the week, one should keep watch on 11,000 levels for the Nifty, if the Index breaks this resistance, we will see an upside movement up to 11,300 levels. Meanwhile for the BankNifty, if the Index breaks the resistance of 22,500 levels than 23,000 would be there and more above 24500 is likely.

Q) What do you make of the recent results which have come out from the IT space? The majority of the stocks hit a fresh 52-week high in the week gone by. What should investors do if they want to invest in the IT space?

A) At the present level, IT sectors look good even though major IT stocks are trading at a high level. In a basic sense, the ongoing situation of the pandemic effect will encourage mostly MNCs and other large corporates to adopt work from home culture.

Even on technical formation, major IT stocks like TCS, Infosys, HCL Technologies, Wipro and Tech Mahindra are looking good.

One should adopt a strategy to invest at CMP and wait for a fall, and if it happens then again buy in 4 tranche with the ratio of 25 percent each of the investment amount.

Q) Twitter Bitcoin hack is something which came out of the blue. A similar scam happens when retail investors, especially the new-age ones, get charmed by the SMS or email promising to give superior returns. Are there any red flags which you want to highlight for traders?

A) It’s always better to take suggestions from investment advisor rather than give importance on SMS or email which are giving promise of good returns.

Playing blind will not always work so if you want to get into the share market with jovial experience, always give importance to basic studies and consult your financial advisor or broker.

Q) Top 3-5 trading ideas which traders can initiate this week with a time horizon of 3-4 weeks?

A) Buy APOLLOHOSP in Cash @ 1499.20 SL 1410 TGT 1620-1660
Buy CONCOR in Cash @ 448.65 SL 415 TGT 515

Buy SBICARD in Cash @ 755.95 SL 720 TGT 830

Disclaimer: The views and investment tips expressed by experts on are their own and not those of the website or its management. advises users to check with certified experts before taking any investment decisions.
"Reliance Industries Ltd. is the sole beneficiary of Independent Media Trust which controls Network18 Media & Investments Ltd which publishes Moneycontrol."
Kshitij Anand is the Editor Markets at Moneycontrol.
first published: Jul 20, 2020 08:24 am

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