Range-Bound Texture Is Likely To Continue
If it trades between 82,000 and 82,600, range-bound textures are likely to continue.” Above 82,600 it could rise to 83,000-83,200. Below 82,000, market could retest the level of 81,700 – 81,500
Range-Bound Texture Is Likely To Continue
Mumbai: On Tuesday, the benchmark indices continued narrow range activity. The Sensex was down by 50 points. Among sectors, IT, Defense, and Media indices gained over 1 per cent, whereas the Realty index was the top loser, shedding 1 per cent.
Technically, the market has been witnessing narrow range activity over the last two days. Key support zones for traders include 82,000 and 82,100, while 82,400-82,600 would act as a key resistance area for the bulls.
Shrikant Chouhan, Head - Equity Research, Kotak Securities, said: “We are of the view that as long as the market trades between 82,000 and 82,600, range-bound textures are likely to continue.” A successful breakout above 82,600 could push the market up to 83,000-83,200. On the other side, below 82,000, selling pressure is likely to accelerate. Below this level, the market could retest the level of 81,700 – 81,500.
STOCK PICKS
Minda Corporation | TRADE-BUY | CMP: Rs572 | SL: Rs545 | TARGET: Rs620
Minda Corp has shown a strong bullish breakout above the Rs560 resistance level, supported by rising volumes and improving momentum indicators. The stock is trading above its 20-day and 50-day moving averages, confirming the short-term uptrend. The Relative Strength Index (RSI) is around 67, indicating healthy momentum without being overbought. The recent price action has formed a higher high–higher low pattern, signaling continued buying interest. A sustained move above Rs570 could lead the stock toward Rs620 in the short term. As long as it holds above Rs545, traders may consider buying on dips with a positive bias.
Electrosteel Castings | TRADE-BUY | CMP: Rs118 | SL: Rs111 | TARGET: Rs130
Electrosteel Castings has broken out above its immediate resistance near Rs116, indicating the beginning of a new upward leg. The stock has been consolidating for a few sessions, and the breakout is backed by a noticeable rise in volumes. RSI is currently at 65 and trending upward, signaling increasing momentum. The stock is trading above key moving averages and forming a solid base near the Rs110–Rs115 zone. With continued strength, Electrosteel Castings may test Rs130 in the near term. A stop loss below Rs111 is advised to manage downside risk. The structure supports a bullish short-term view.
(Source: Riyank Arora, technical analyst at Mehta Equities)
