Be careful while adding long positions
- AARTIIND - Above 1235 with a target of 1270 and Stop loss of 1200. The price has support of 8 & 40 EMA.
- BHEL - Above 40.10 with a target of 42.10 and Stop loss of 38.20. It is an upward trending channel.
- HINDPETRO - Above 227.40 with a target of 233.70 and Stop loss of 220.90. It has support of 40 EMA and trendline support.
- ICICIPRULI - Above 496.10 with a target of 508 and Stop loss of 484. The price bounced from 8 EMA.
- SRF - Above 5820 with a target of 6016 and Stop loss of 5624. It has support of 40 EMA and has given consolidation breakout.
Mumbai: For the twelfth consecutive session, the market is managing to set a record high. "It is an overextended market and traders need to be careful when adding long positions at high levels. We must be optimistic but cautiously. According to the Japanese candlestick theory, there is continuity in the market today," says Shrikant Chouhan, EVP, equity technical research at Kotak Securities.
The market has fallen to the lowest level of the previous day but due to the unusual strength in the market, it has turned into a buying opportunity for short-term traders. On Wednesday, the Sensex could show gains up to the 52,400 level and further bullishness above the 52,500 levels. On the downside, the 51,850 level would provide major support and dismissing it would lead to short-term weakness in the market.