Market is largely negative

The benchmark indices experienced a volatile trading session. The Sensex was down by 250 points. Among sectors, the Capital Market index rallied 1.30 per cent, whereas Infra and Défense indices shed over 1 per cent. Technically, after a gap-up open, the market faced consistent selling pressure at higher levels. On daily charts, it has formed a bearish candle, which is largely negative.

“We are of the view that the intraday market texture is non-directional; hence, levels-based trading would be the ideal strategy for day traders,” says Shrikant Chouhan, Head Equity Research, Kotak Securities.

On the downside, 83,200-83,000 would act as key support zones, while 84,300-84,500 could be the key resistance areas for the bulls. However, below 83,000, the sentiment could change, below the same traders may prefer to exit.

STOCK PICKS

Ixigo | TRADE – BUY | CMP: Rs225.65 | SL: Rs212 | TARGETs: Rs240-Rs255

Ixigo is trading in a strong uptrend with a clear higher-high and higher-low structure. The stock has broken out of its consolidation range with healthy volume participation. Momentum indicators remain firmly bullish, indicating continuation of the trend. A sustained move above Rs228 can trigger further upside toward Rs240 and Rs255. Maintain a stop-loss at Rs212.

Imagicaa | TRADE – BUY | CMP: Rs51.30 | SL: Rs48 | TARGETs: Rs56-Rs60

Imagicaa is witnessing renewed buying interest after forming a strong base near Rs48. The stock is showing early signs of trend reversal, supported by improving RSI and price action. A breakout above Rs52 can accelerate momentum toward Rs56 and Rs60. Traders may hold long positions with a strict stop-loss at Rs48.

(Source: Riyank Arora, technical analyst at Mehta Equities)