Further uptrend likely

Mumbai: On Monday, the benchmark indices registered a fresh all time high of 82,725.28, NSE Nifty ends 43 points higher, while Sensex was up by 194 points. Among sectors, FMCG index rallied 0.88 per cent whereas Metal index shed over one per cent. Technically, after gap-up opening, the market witnessed some intraday profit booking at higher levels.

However, the short-term texture of the market is still in the positive side. Additionally, on intraday charts market is still holding higher high and higher low series formation, which supports further uptrend from the current levels.

Shrikant Chouhan, head (equity research), Kotak Securities, said: “We are of the view that 82,350 would act as a sacrosanct support zone for the day traders. As long as it is trading above the same, the bullish sentiment is likely to continue.” On the higher side, it could move up till 82,800-83,000. On the flip side, below 82,350 traders may prefer to exit out from the trading long positions. Below the same, the market could slip till 82,000-81,800.

Prashanth Tapse, senior V-P (research), Mehta Equities, said: “While key indices continued to be in a record-breaking spree on the back of selective buying in frontline stocks, several sectoral indices ended in red indicating that the bulls are beginning to lose steam. Investors would wait for the outcome of the key US jobs data to be released on Friday which will be key for interest rate decisions by the US Fed in the current month.”

STOCK PICKS

Grasim Industries | Buy: Rs2,690 | SL: Rs2,625 |Target: Rs2,800 - Rs2,825

Grasim Industries is showing a strong bullish trend, with recent price action indicating a potential breakout. The stock is well-positioned to move towards the targets of Rs2,800 to Rs2,825. A strict stop loss at Rs2,625 is advised to protect against any downside risk, ensuring a balanced approach to capitalizing on the positive momentum.

LTIMindtree |Buy: Rs6,153 | SL: Rs6,000 | Target: Rs6,450

LTIMindtree has recently experienced a notable rally, backed by strong volume and positive sentiment. The technical outlook suggests further upside potential towards Rs6,450. To manage risk, a strict stop loss at Rs6,000 is recommended, enabling traders to take advantage of the current momentum while safeguarding against potential reversals.

(Source_Riyank Arora Technical Analyst at Mehta Equities)