The Nifty is respecting the demand zone of 18,660–18,550, following a small correction near the all-time high of 18,888. There is a good chance that the benchmark index hits a fresh all-time high this week, but 19,000 will be an immediate and critical barrier.
Above this, 19,191 will be the next hurdle. On the downside, 18,660, 18,550, and 18,450 could be multiple support levels.
Bank Nifty respected its 50-day moving average (DMA) beautifully and managed to close above its 20-DMA, which may lead to a short-covering move towards 44,500–44,800 levels. On the downside, if it slips below its 50-DMA, which is currently placed at 43,500, then we can expect a fall toward the 42,700 level.
Here are three buy calls for next 2-3 weeks:
NLC India: Buy | LTP: Rs 101.35 | Stop-Loss: Rs 95.5 | Target: Rs 114 | Return: 12.5 percent
The counter is currently exhibiting an upsloping channel formation, indicating a positive trend. Additionally, a Bullish Flag formation has recently emerged, suggesting the potential for a new expansion phase. It's worth noting that the 20-day moving average (DMA - Rs 98.21) is playing a crucial role as a support level in the short term.
Various technical indicators are also signaling positive momentum for the counter. The relative strength index (RSI) experienced a positive crossover from the support level of 50, indicating a strengthening of the bullish sentiment. Moreover, both the moving average convergence divergence (MACD) and the average directional index (ADX) are supporting the current momentum.
Krishna Institute of Medical Sciences (KIMS): Buy | LTP: Rs 1,801 | Stop-Loss: Rs 1,700 | Target: Rs 2,000 | Return: 11 percent
The counter is currently experiencing bullish momentum and has witnessed a breakout of a Diagonal Inverse Head and Shoulder formation, which is typically considered a bullish pattern. Additionally, there has been a breakout of an upsloping trendline, and the counter is managing to sustain its position above this trendline, further supporting the bullish outlook.
In terms of support levels, the immediate demand zone for the counter is between Rs 1,735 and Rs 1,700. This range is expected to provide support in case of any minor pullbacks. Furthermore, at a deeper correction, the level at 1630 is expected to act as a strong support level.
The counter is currently trading above its important moving averages, indicating a positive trend. However, it is worth noting that in the shorter time frame, it appears slightly overbought. Despite this, it is possible for the counter to remain overbought for an extended period during strong bullish trends.
Shyam Metalics & Energy: Buy | LTP: Rs 366 | Stop-Loss: Rs 346 | Target: Rs 412 | Return: 12.5 percent
The counter has recently experienced a significant breakout above the key horizontal hurdle of Rs 335, accompanied by heavy volume. After successfully retesting this breakout level, the counter is now showing signs of resuming its bullish momentum.
In terms of resistance levels, Rs 385 is likely to act as an immediate hurdle for the counter. If it manages to surpass this level, the next target levels to watch are Rs 412 and Rs 425.
Currently, the counter is trading above its crucial moving averages, indicating a positive trend. Moreover, the momentum indicators are displaying a positive bias, further supporting the bullish outlook.
Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
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