Sensex trading in narrow range
l ALKEM - Above 2800 with a target of 2840 and Stop loss of 2760. It is trading in a sideways channel and has recently breached an important resistance level.
2. INFOSYS - Above 1435 with a target of 1460 and Stop loss of 1410. It has a support of 8 and 40 DMA.
3. CHOLAFIN - Above 580 with a target of 598 and Stop loss of 570. It is an upward trending channel and on the verge of a breakout.
4. BALKRISIND - Above 1695 with a target of 1715 and Stop loss of 1680. It has a support of 8 and 40 EMA.
5. DEEPAKNTR - Above 1715 with a target of 1765 and Stop loss of 1680. It has reversed from the support of 8 EMA.
Mumbai: THE narrow range activity continues but the index recovered sharply from 49,100 support levels. Today, the Sensex opened with a positive note and strong buying interest helped the index rally over 450 points.
Among sectors, after RBI monetary policy, strong buying interest was seen in PSU Bank stocks and the Bank Nifty index.
"We are of the view that after a long time, banking stock is witnessing buying interest and the texture suggested for the next few trading sessions, 32,500 would be the strong support zone for the Bank Nifty. Trading above the same we can expect strong pullback rally till 34,000-34,300," says Shrikant Chouhan, EVP (equity technical research), Kotak Securities.
Meanwhile, technically, the Sensex is still trading within a narrow range. On the higher side 50,250 would be the immediate hurdle for the Sensex, above the same we can expect one more uptrend up to 50,800-51,200.
On the flip side, 49,400 could be the immediate support for the bulls, below the same sharp intraday correction up to 48,800 is not ruled out.