Short-term market texture still on positive side
For the positional traders 58,300 and 58,100 would act as key support levels, above which it could touch 59,000-59,200; on the flip side, below 58,100, uptrend would be vulnerable
image for illustrative purpose
Stock Picks
- GNFC: Above Rs855 with a target of Rs870 and Stop loss of Rs845. The stock is in positive momentum and is at the support of 8 and 40 EMA
- DEEPAKNTR: Above Rs2300 with a target of Rs2340 and Stop loss of Rs2260. It has a support of 8 EMA and has been on the verge of the breakout
- OIL: Above Rs240 with a target of Rs245 and Stop loss of Rs235. It is at the support of 8 and 40 EMA
- GUJGAS: Above Rs512 with a target of Rs520 and Stop loss of Rs505. It has reversed from the recent support zone
- NMDC: Above Rs163.50 with a target of Rs167 and Stop loss of Rs160. It has reversed from the support of 8 and 40 EMA
(Source: Capital-Via)
Mumbai: On the last day of March F&O expiry, the benchmark indices witnessed a narrow-range activity. BSE Sensex was down by 119 points. Among Sectors, after a long-time buying interest was seen in FMCG stocks, as a result Nifty FMCG index rallied over one per cent whereas profit booking continued in Pharma, PSU Banks and selective IT stocks.
Technically, after a promising uptrend move, currently the index witnessing narrow range activity. It also formed small bearish candle near important resistance level which is broadly negative. However, the short-term texture of the market is still in to the positive side.
"For the positional traders, 58,300 and 58,100 would act as key support levels. Above which we could touch the level of 59,000-59,200," says Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities. On the flip side, below 58,100, uptrend would be vulnerable. The texture of the market is volatile, hence buying on dips and sell on rallies would be the ideal strategy for the day traders, he added. The local equities markets remained poor in the late afternoon session, even though the global markets were trading in the green. However, the gains were only minor. Petrol and diesel prices were both increased by 80 paise per litre, bringing the total increase in rates in the last ten days to Rs 6.40 per litre. Rates have been raised across the country, and they differ from state to state based on the amount of municipal taxation. On the international front, Asian markets were generally in the red as Chinese manufacturing slumped and Russian shelling near Ukraine's capital shattered expectations for peace talks. On the last trading day of March, European markets were trading down.
