“Nifty may continue to oscillate in the price band of 10,160 to 10,000, and may again see buying on dips around 10,000.” says Jaydeb Dey, Technical Analyst at Stewart & Mackertich Wealth Management Ltd.
The Nifty50 witnessed profit booking decline soon after it reclaimed 10200. The index has crucial support around 200-DEMA but one thing is clear that the current market structure closely resembles sell on rallies kind of markets.
He is also very upbeat on the water treatment space. VA Tech Wabag is one of his bets and feels that it is a good one.
Shah is pointing to the downfall that the segment has seen since the start of the year.
It is unlikely that there will be sharp corrections in the market but with all the uncertainties with regards to bank NPAs, politics, currency, it is also unlikely to outperform, said Neelkanth Mishra of Credit Suisse.
"The Fed even is neutral to positive for the markets for the following reasons. a) relief that only two hikes are expected this year, and b) surprisingly the inflation number has not been revised upwards," VK Sharma, Head PCG and Capital Market Strategy at HDFC Securities told Moneycontrol.
Going forward, we expect the Nifty to consolidate around its 200-DMA before we resume the downtrend.
We advise investors to avoid creating aggressive shorts at the current juncture and instead look to accumulate quality stocks in a staggered manner for the medium-term.
Mitessh Thakkar of miteshthacker.com recommends buying Dewan Housing Finance with a stop loss of Rs 513 and target of Rs 537, ICICI Prudential Life Insurance with a stop loss of Rs 377 and target of Rs 395 and a buy also on Jubilant Food with a stop loss of Rs 2180 and target of Rs 2275.
"Nifty might revert back to its short term moving average of 20EMA i.e. around 10,325 which might work as immediate hurdle zone," says Rajesh Agarwal of AUM Capital.
“Nifty may continue oscillating in the price band of 10,230 to 10,000 before next leg of decisive movement.” says Jaydeb Dey, Technical Analyst at Stewart & Mackertich Wealth Management Ltd.
The fourth quarter for largecap IT is likely to be a better than expected setting a context for strong FY19, said Kashyap Pujara of Axis Capital.
We maintain the bearish stance on Nifty and any rebound will be due to the band of averages at present levels and it may consolidate further to drift lower in medium term toward 9,750 – 9,850.
On an overall basis, he believes that the Street is in the final phases of a healthy bull market, which could probably last another year.
We have seen a weak start to the year with volatility globally & locally seeing stocks underperform. However, we think you could see another 10% upside in FY19 from June/July period onward as earnings start to grow.
On any bounce in prices, the Nifty index will face strong resistance around 10,250-10,300 levels.
"Strong support zone is seen around 10030 levels. We are expecting Nifty to trade within a range of 10030-10170 levels ahead of FOMC Meeting due later on Wednesday," says Rajesh Agarwal of AUM Capital.
The Nifty is likely to remain in a narrow range for the next few trading sessions with immediate support seen around 10,000-10,100 levels whereas 10,400-10,500 will act as a major hurdle.
"We prefer buying on dips, irrespective of US FOMC meet outcome, as long as the critical prolonged upward trending channel support placed around 10,000 mark is intact.” says Jaydeb Dey, Technical Analyst at Stewart & Mackertich Wealth Management Ltd.
Prasanth Prabhakaran, Senior President & CEO YES Securities is of the belief that the market is close to the bottom.
The Nifty50 opened at 10,051 and rose to an intraday high of 10,155. It slipped to an intraday low of 10,049 before closing the day 30 points higher at 10,124.
While net sales by FIIs have worried the Street, Sakthi believes that India is not in a capitulation territory yet. She highlighted how the last time there was foreign investor capitulation two years ago.
In his view, it has to be seen how this interplay between fundamentals and sentiment works out.
The outlook for Indian government bonds remains challenging, but some value may be emerging after the sharp sell-off over the past six months, says Singapore's DBS Banking Group.
There is some amount of correction that is still there but the character of the market is changing, Harendra Kumar, Head of Institutional Broking & Global Economy at Elara Capital told CNBC-TV18.