Traders may prefer to exit their long positions

Mumbai: Today, on the backdrop of positive global sentiment, our market bounced back sharply after a stellar rally. The Sensex was up by 2,946 points.

Among sectors, all the major sectoral indices traded in the positive territory, but Realty and Auto outperformed, both indices rallying over 6.5 percent. Technically, the market opened with a gap over 2,600 points and maintained positive momentum throughout the day.

“We are of the view that the short-term market trend is positive, but due to temporary overbought conditions, we could see some profit-taking at higher levels,” says Shrikant Chouhan, Head - Equity Research, Kotak Securities.

For day traders, now, 77,000-76,700 would act as key support zones, while 78,000 and 78,500 could serve as key resistance levels for the bulls. However, below 76,700, the uptrend would become vulnerable. If the market falls below this level, traders may prefer to exit their long positions.

STOCK PICKS

GODAWARI POWER & ISPAT LIMITED

BUY BETWEEN - 269-279 | STOP LOSS - 263 |

TARGET - 295-299

It has given a very strong move today closing above its 7 month high, with a very strong volume. Hovering around all time high area, above its major moving averages 20, 50, 100 & 200,. RSI above 61 and MACD maintaining positive stance consistently.

TITAN COMPANY LIMITED

BUY BETWEEN - 4250 to 4300 | STOP LOSS - 4160 | TARGET - 4499 - 4599

This stock has always been an investors & traders darling, again proving itself strong by giving “W” pattern breakout on weekly charts. On daily it has been very strong with RSI above 65 & MACD exhibiting strong positive crossover. Stock being on all time high needs a little cool off, hence buy the below mentioned levels.

(Source: Independent Market expert, Adib Noorani)