Indian stock market: The Nifty remained sideways during the day after crossing above 23,000. Sentiment might remain subdued in the next few days, with the index ranging between 22,950 and 23,050. Heavy call and put writing activity at 23,000 suggests a possible range-bound trade in the near term. Only a decisive fall below 22,950 might take the index towards 22,800. On the other hand, a sustained movement above 23,050 might lead to a meaningful rally.
Bank Nifty
The Bank Nifty remained strong throughout the day, bolstered by strength in HDFC Bank. Going forward, sentiment is likely to remain positive as long as the index stays above 48,500. Any dips towards 48,500 might attract buying interest. On the higher end, immediate resistance is placed at 49,000, above which the index might move towards 49,500. On the lower end, immediate support lies at 48,800.
Stocks to buy
TVS Motor: Buy at ₹2246 | Target Price: ₹2320/2370 | Stop Loss: ₹2,160
The stock has given a consolidation breakout on the daily chart and is trading above its 14-day EMA, indicating strong short-term momentum. Additionally, the RSI is in a bullish crossover, further supporting a positive outlook. One can consider initiating a long position in the range of 2230-2250, with a stop loss set at 2160. The upside targets for this trade are 2320 and 2370.
PFC: Buy at ₹493 | Target Price: ₹520/530 | Stop Loss: ₹474
The stock has given a consolidation breakout on the daily timeframe, suggesting a rise in optimism. The trend looks bullish as the stock has sustained above the critical moving average. Additionally, the price rise was backed by an increase in volume. On the higher end, it might move towards 530 in the short term. On the lower end, the stock might decline if it falls below 474.
Titan: Buy at ₹3410 | Target Price: ₹3355/3300 | Stop Loss: ₹3466
The stock has formed a dark cloud cover on the daily chart, suggesting a possible bearish reversal in the short term. On the higher end, 3460 might act as short-term resistance, and the stock might remain weak as long as it stays below this level. On the lower end, it might move towards 3300.
The author Rupak De is Senior Technical Analyst at LKP Securities.
Disclaimer: The views and recommendations above are those of individual analysts, experts, and brokerage firms, not Mint. We advise investors to consult certified experts before making any investment decisions.
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Published: 26 May 2024, 03:26 PM IST