Market Still In Positive Mode
Afresh uptrend possible only after 83,500, above which it could retest levels of 83,770 till 84,000; On the other side, below 83,500 points, it could slip till 82,900-82,700
Mumbai: On Thursday, the benchmark indices registered a fresh all time high of 83,773.61 points, but witnessed a profit booking at higher levels. BSE Sensex was up by 237 points. Among sectors, FMCG Index rallied over one per cent whereas Media index shed over 1.5 per cent. Technically, after a gap-up open, the market consistently facing selling pressure at higher levels. From the day, highest point market corrected over 700 points.
Shrikant Chouhan, head (equity research), Kotak Securities, said: “We are of the view that, the larger texture of the market is still into the positive side, but a fresh uptrend rally possible only after dismissal of 83,500. Above 83,500, it could retest the level of 83,770. Further upside may also continue which could lift the index till 84,000. On the other side, below 83,500 it could slip till 82,900-82,700.”
Vaibhav Vidwani, research analyst, Bonanza Portfolio, says that the domestic market closed on a positive note where Nifty closed at 25,415 and Sensex closed at 83,184, buoyed by the US Federal Reserve’s decision to cut interest rates by 50 basis points, exceeding market expectations.
The market opened with a gap-up and then observed profit booking thought out the day. The Nifty FMCG index was the top gainer among the sectoral indices, rising by 0.56 per cent.
STOCK PICKS
Kotak Bank | Buy: Rs1,870 | Target: Rs1,900-1,920
Kotak Bank is currently showing a positive momentum, with a strong support level at Rs1,859. The stock has exhibited consistent upward movement, and the technical indicators suggest further gains. A buy is recommended, the RSI is hovering in a favorable zone, indicating bullish sentiment. With strong fundamentals and positive market sentiment, this is an ideal entry point.
ICICI Lombard| Buy:Rs2,200| Target: Rs2,250-2,275
ICICI Lombard is trading near a support zone of Rs2,175, making it an attractive buy. The stock shows resilience, and technical analysis points to potential upside. With steady volume and a favorable risk-reward ratio, ICICI Lombard offers a solid buying opportunity. The market sentiment is supportive, and any dips should be seen as a buying opportunity with a strict stop loss.
(Source: Riyank Arora, technical analyst at Mehta Equities)
CMP (Current Market Price); SL (Stop Loss)/All prices in Rs