Nifty
NIFTY: 24176.15In our previous update, we had mentioned that the Nifty could be in for a choppy volatile and ranged days ahead. We had indicated upside resistance at 24350 – 24400 and downside support at 23850 – 23800.
The nifty opened the week at 24063 and moved to a high of 24482, before declining to a low of 23882 and closed at 24176.
Going ahead the directional bias remains absent as most of indicators are flat. In this case we maintain the view of 24400 to 23850 as the immediate range for the index. A break above 24400 would see the nifty target 24600 / 24750 – 24800. While a move below 23850 – 23800 could see the index decline a bit more to levels of 23500.
Nifty Summary:
Upside resistance 24400 / 24580
Downside support 23800 – 23850 / 23500 – 23150
Bank Nifty
BankNifty: 55310.55 In our previous update, we had suggested that the Banknifty has good support at 54500 (marked in the chart above) and indicated that further declines would happen only below it.
The banknifty recorded its lowest closing at 54547 during the week and managed to bounce back. Going forward too this level remains the key. A break below 54500 would trigger further declines to levels of 53800 or below. On the upside resistances come in at 56500 / 57500 and 58350.
Apollo Hospitals: CMP: 8097
The most important observation to made on the price charts of Apollo Hospital is that the share price has recorded a breakout into all-time highs. This also means that now there are no historical resistances at higher levels.
The weekly indicators and averages are all in rising mode and suggest that the direction and momentum remain in a positive bias. The earlier highs were at levels of 7900.
Traders should look to buy at current levels and add around 7950 levels. Keep a stop below 7840. On the upside, the stock price could possibly test targets of 8700 / 9000 in coming few weeks.
Gillette: CMP: 8148
The most important observation on the weekly charts of Gillette is that the weekly moving averages (currently placed around levels of 8000) are about to record a positive crossover.
It should be noted that the indicators have already done that (as marked in the chart above). The overall technical evidence therefore suggests a possibility of price advance in coming weeks.
Traders can look at accumulate the stock slowly at current price and add around levels of 8050 – 8000. Keep a stop loss of 7940 on the position. The projected targets could be in the range of 8600 or even 8800.
eClerx: CMP: 1668.70
The share price of eClerx was moving in a range of 1390 – 1630 and now appears to have broken the range on the upside (kindly refer the chart above). The momentum indicators are also rising and add to the genuinity of the possible breakout.
The short-term moving averages are placed at 1520 – 1550. Given the aforementioned observations, traders can look to buy the stock at current levels and add on a pullback to levels of 1630 – 1610. Keep a stop below 1545 and look to book profits should the stock price head to levels of 1860 / 1950.
Analyst - Mitesh Thakkar
Bonanza Portfolio Limited.
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