Indian market snapped a three-day winning streak on November 25 to close below crucial support levels. Investors preferred to book profits soon after both Sensex and Nifty hit fresh record highs.
The S&P BSE Sensex reversed gains after hitting a life high of 44,825 while Nifty50 hit a record intraday high of 13,145 on Wednesday.
Markets are likely to remain volatile on Thursday amid November F&O expiry.
Let’s look at the final tally on D-Street – the S&P BSE Sensex fell 694 points to 43,828 while the Nifty50 closed with losses of 196 points at 12,858.
Sectorally, the selling pressure was seen in telecom, realty, banks, healthcare, auto, and consumer discretionary stocks.
ARSS Infrastructure rose by about 10 percent, HDFC Bank fell more than 2 percent after it hit a record high of Rs 1464 while Gujarat Fluorochemicals gained a little over 9 percent.
We have collated views of experts on what investors should do when the market resumes trading on 26 November:
Expert: Ashish Chaturmohta, Head of Technical and Derivatives, Sanctum Wealth Management
ARSS Infrastructure: Support is seen at Rs 13.50 level
The stock has been consolidating between Rs 16.70 and Rs 9 odd levels for the last nine months. Now, the stock has jumped from lower levels and is now approaching the higher end of the range.
A break out above Rs 16.70 levels could take the stock towards Rs 20.30 levels. While on the downside, support is seen at Rs 13.50 level.
HDFC Bank: Fresh record highs! Support seen at Rs 1350
The stock has been in an uptrend forming a higher top and higher bottom on the weekly charts. In the last couple of months, the stock has picked up some momentum and touched a new all-time high of Rs 1464 in Wednesday's session.
The stock saw some profit-booking after touching a high of Rs 1464 and closed at Rs 1403 levels. Now, the immediate support is placed at Rs 1350 and then Rs 1300 levels. If the stock holds above Rs 1350, it can rally towards Rs 1490 and then towards Rs 1580 levels.
Gujarat Fluorochemicals: Stock is showing signs of breakout
The stock had seen a decline from October 2019 high of Rs 749 to a low of Rs 218 on March 2020. Since then, the stock has rallied to Rs 550 where it faced resistance at 61.8% Fibonacci retracement of the entire decline of Rs 749-218.
Over the last three months, the stock has been consolidating its gains between Rs 550 and Rs 460 levels to form a base. Now the stock is showing signs of a breakout with positive price action and pick up in volume activity.
If the stock sustains above Rs 550 levels, it can rally towards Rs 640, while on the downside support is seen at Rs 540 and then towards Rs 510 levels.Disclaimer: The views and investment tips expressed by 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.