Possibility of a decline towards 41,000-40,330 zone on Bank Nifty remains high but a breach below 40,000 level immediately looks unlikely.
Nifty 200 & Nifty 500 indices are yet to register a firm close above their respective October 2021 life high zones, Sacchitanand Uttekar of Tradebulls Securities says.
The outlook for the Nifty50 remains positive till it holds 15,450. As of now, the ongoing oscillation within the range of 15,630-15,930 looks mature for a directional momentum play, says Uttekar
If we look at the key oscillators, and trend strength indicators, they are yet to quote above the overbought thresholds which make the dips lucrative for buying, says Uttekar.
For this week, 15,430 remains a key level to track on the lower side for the Nifty as it also corresponds with its 20-day EMA zone. As long as the Nifty50 trades above this level, an up move towards 16,040 remains likely.
Despite the recent uptick in global volatility, the Nifty midcap and smallcap have continued to maintain their outperformance as compared to largecap names which saw some good comebacks during the final legs of the May series.
We expect the index to witness a breakout above its ongoing consolidation band of 14250-14850. The latest weekly price performance has been significant as the index never slipped below its previous week's swing low despite a weak opening to the week, says Uttekar.
The Year 2021 may not have a constant trend but it would certainly have opportunities arising on both sides due to the overbought nature of the market, says Uttekar.
We continue to remain upbeat in midcap and smallcap stocks as economic recovery will lead to an increase in their valuations
13000-13090 remains the key zone for the bullish momentum to resume again towards 13570 while on the flipside supports are clearly placed at 12680 & 12510 respectively.
The immediate key level to gauge the confidence around the life high would be a closure above 12530 while the elevated base around 11960 should hold strong for the upcoming week.
Technically, for Nifty50, 12065 holds the key for fresh bullish momentum to unlock its move towards 12416 with a minor hurdle around 12140 while any close below 11,580 could dampen the sentiment.
For Nifty, 12065 remains a strong headwind above which the move towards 12146 followed by 12416 could be a quick affair while a decisive weekly close below 11580 would dampen the bullish sentiment.
To be fair, not too many fundamentals have been supporting the liquidity-driven rally across markets. A lot of economies have been in a bad shape and recovery rates are lacklustre.
We expect markets to remain choppy throughout the week. Most of the price based evidence is pointing towards a broad range action within 11250-11750 with 11550 as its breakeven zone.
Since upside looks limited as of now it is ideal for investors to ramp up their exposures into defensives while post the sharp upward movement traders should avoid leverage, and focus on stock-specific longs.
Mid-cap and small caps seems to be getting their mojo back as they are starting to outperform large-cap peers, says Sacchitanand Uttekar of Tradebulls Securities.
If we dissect the move to detail then the journey from 10840 till now, it has been the most volatile due to high frequency of sector rotations, and leadership rotations within the index constituents.
Sacchitanand Uttekar of Motilal Oswal Financial Services has a bullish view on Asian Paints, Havells India and Tata Motors.
Watch the interview of Sacchitanand Uttekar of Motilal Oswal Financial Services and Amit Harchekar of A PLUS Analytics with Latha Venkatesh & Nigel D'Souza on CNBC-TV18.
In an interview to CNBC-TV18's Nigel D‘souza and Ekta Batra, Ashwani Gujral of ashwanigujral.com and Sacchitanand Uttekar of Motilal Oswal Fin Svcs, shared their readings and outlook on market and specific stocks.
Watch the interview of Ashwani Gujral of ashwanigujral.com and Sacchitanand Uttekar of Motilal Oswal Financial Services with Reema Tendulkar and Nigel D'Souza on CNBC-TV18, in which they shared their reading and outlook on technical side of the market as well as specific stocks and sectors.
In an interview to CNBC-TV18's Nigel D‘Souza & Reema Tendulkar, Sacchitanand Uttekar of Motilal Oswal Financial Services shared his readings and outlook on market and specific stocks and Chandan Taparia, Derivative & Technical Analyst at Anand Rathi Securities gave his outlook on Futures and Options (F&O) side of the market.
In an interview to CNBC-TV18's Reema Tendulkar & Nigel D'Souza, Sacchitanand Uttekar of Motilal Oswal Financial Services shared his readings and outlook on market and specific stocks and Gaurav Bissa of LKP Securities gave his outlook on Futures and Options (F&O) side of the market, specific stocks and sectors.
In an interview to CNBC-TV18's Reema Tendulkar and Nigel D‘souza, Sacchitanand Uttekar of Motilal Oswal Financial Services shared his readings and outlook on market and specific stocks and Gaurav Bissa of LKP Securities gave his outlook on Futures and Options (F&O) side of the market, specific stocks and sectors.