Market may remain weak temporarily
The market is expected to remain weak in the short term due to global uncertainties and investor caution. Analysts advise a selective and defensive approach while monitoring key economic indicators.
Market may remain weak temporarily
Mumbai, June 17
The benchmark indices witnessed profit booking at higher levels. The Sensex was down by 213 points.
Among sectors, the IT index was the top gainer, gaining 0.64 per cent, whereas the Pharma and Healthcare indices shed nearly 2 per cent.
Technically, a reversal formation on intraday charts and a bearish candle on daily charts indicate temporary weakness.
“We believe that as long as the market is trading below 81,800, the weak sentiment is likely to continue. On the downside, 81,200 would be the immediate support zones for traders,” says Shrikant Chouhan – Head Equity Research.
Below this, the market could slip to 80,900-80,700. On the flip side, above 81,800, the sentiment could change. If it moves above this level, it could rally up to 82,100-82,500.
Stock Picks
Dodla Dairy Ltd
Buy at ₹1,398 | Stop Loss ₹1,350 | Target ₹1,550
Dodla Dairy has cleared resistance around ₹1,375 with increased volume, signaling renewed bullish momentum after a consolidation phase. The stock is trading comfortably above its 20-day and 50-day moving averages, indicating sustained strength. The Relative Strength Index (RSI) stands at 67, reflecting positive momentum without reaching overbought levels. As long as the stock holds above ₹1,350, the upward channel remains intact. A breakout above ₹1,400 could lead to a rally toward ₹1,550 in the near term. Traders may consider buying on dips with a close stop-loss at ₹1,350 to manage risk.
Mazagon Dock Shipbuilders Ltd (Mazdock)
Buy at ₹3,300 | Stop Loss ₹3,150 | Target ₹3,650
Mazagon Dock has shown strong technical strength by holding above the ₹3,200 level and now trading near ₹3,300 on robust volumes. The stock is forming a higher-high, higher-low structure and is positioned above its short- and medium-term moving averages—signifying a positive trend. The RSI reads ~68, indicating solid momentum and room for further gains. If Mazdock sustains above ₹3,300, it could move toward the ₹3,650 mark in the near term. A stop-loss at ₹3,150 provides downside protection while allowing for upside participation.
(Source_Riyank Arora Technical Analyst at Mehta Equities)
EoM.
