Stay stock specific
Breaking all the important support, the market went back to 48,580 levels and came back. For the last 20 days, 48,580 has been working as an important basis.
The strategy should be to buy on dips
Stock Picks
- ABBOTINDIA - Above 15200 with a target of 15450 and Stop loss of 14970. It is trading in a sideways channel and has recently breached an important resistance level.
- INFOSYS - Above 1425 with a target of 1445 and Stop loss of 1405. It has a support of 8 and 40 DMA.
- HCLTECH - Above 1040 with a target of 1072 and Stop loss of 1020. It is an upward trending channel and on the verge of a breakout.
- ADANIPORTS - Above 746 with a target of 760 and Stop loss of 739. It has a support of 8 and 40 EMA.
- BRITANNIA - Above 3720 with a target of 3785 and Stop loss of 3682. It has reversed from the support of 8 EMA.
(Source-CapitalVia)
Mumbai: Breaking all the important support, the market went back to 48,580 levels and came back. For the last 20 days, 48,580 has been working as an important basis.
From now on, 48,580 would act as a trend decider. However, the market may return to around 48,580 or 48,800 and the reason is that today's fall was severe. All sectors except Nifty IT and Nifty Metals were down. Market breadth was also 1:2. Pandemic sensitive sectors are heavily down for example banks, auto and real estate. The level 49,300 will be major obstacles and it is advisable to reduce weak long positions around the same. Trends above 50,100 can be subverted. "Overall, some days you need to stay stock specific," says Shrikant Chouhan, EVP, equity technical research at Kotak Securities.