By Shrikant Chouhan
On the weekly basis, we saw a spectacular recovery in the marketplace. Last week, the marketplace moved to the 15450 level, which was the prior highest level for the marketplace, on the other hand, as the marketplace fell on that assistance, we saw a broad-based recovery in the marketplace. Commodities and financials joined the rally, signaling marketplace readiness to push back the 16000 levels.
The Nifty touched a prior higher on Tuesday and invited income. The Nifty / Sensex progressively enhanced from 15900 to 15750. If we look at the marketplace on the basis of closing, it can be referred to as a static closing. The most important purpose behind this is the testimony of the US Fed. Monthly/quarterly expiration is also a major trigger. For Nifty 15670 and 15800 are crucial trading places in the marketplace. Keep a quit loss of 15550 and acquire up to 15700/15650. Be ready above 15900 for 16050/16150 levels.
If the marketplace requires time to surpass the 15900 levels, the momentum would shift in defensive sectors (FMCG, technologies and pharmaceuticals). However, right after the dismissal of 15900, the commodities and economic stocks would assistance the marketplace to surpass 16000 levels.
Tata Consultancy Services (TCS)
Obtain, CMP: Rs 3,304, TARGET: Rs 3,470, SL: Rs 3,230
The stock is trading into a Rising Channel chart formation creating the larger leading and larger bottom series on a weekly and month-to-month scale, as a outcome, all important technical trend indicators such as Macd and ADX are sturdy and steady. Therefore upward movement from the present level is really probably to continue in the coming sessions.
Divis Laboratories
Obtain, CMP: Rs 4,297, TARGET: Rs 4,510, SL: Rs 4,210
The stock is into a sturdy uptrend and any minor correction is seen as a purchasing chance by the bulls, not too long ago right after the sturdy upside rally till 4400 the stock had faced resistance which resulted in the gradual down move but at some point, it discovered assistance close to 30 Days SMA and reversed with a sturdy bullish candlestick formation, therefore we count on the increasing trend to persist from the present levels.
SBI Life Insurance Company
Obtain, CMP: Rs 1,005, TARGET: Rs 1,055, SL: Rs 985
For the previous handful of trading sessions, the stock is trading in a rectangle formation close to its prior highs and holding nicely above its quick term moving averages therefore a sturdy base has been shaped for the new leg of an uptrend for the counter, furthermore the increasing volume along with sturdy bullish candlestick pattern indicates for a fresh up move in the close to term.
TATA Motors
Obtain, CMP: Rs 337.25, TARGET: Rs 355, SL: Rs 330
On a broader time frame, the stock has formed Higher High and Higher Low chart pattern which lead it to upward movement, on the other hand, the current value correction from its resistance region has plunged the counter till its crucial retracement zone as a outcome the pullback rally is seen for additional up move from the present levels.
(Shrikant Chouhan is Executive Vice President, Equity Technical Research at Kotak Securities. Views expressed are the author’s personal.)