“Nifty has crossed last week high and heading towards 10250-10270 levels i.e. Upper Band of Falling Channel which might work as immediate resistance. Sustenance trade above these levels may add further momentum on upside,” says Rajesh Agarwal of AUM Capital.
AUM Capital
Benchmark indices BSE Sensex and NSE’s Nifty 50 closed higher on Monday on the first trading day of the new financial year helped by healthcare and auto stocks. Shares of auto companies supported gains on positive March vehicles sales data with heavyweights Tata Motors and Maruti Suzuki India leading the gains.
Banking stocks, however, suffered losses after CBI launched an inquiry into ICICI Bank’s Rs 40,000 crore loan to Videocon group. The domestic investors will now look forward to the Reserve Bank of India’s first bimonthly policy decision of FY19 to be held later this week.
Technical Outlook
Nifty
Nifty has formed Bullish candle after two days of consolidation around 200 SMA. It opened with gap-up and continued to move higher to close at 10211.80 up 0.97 percent. It has crossed last week high and heading towards 10250-10270 levels i.e. Upper Band of Falling Channel which might work as immediate resistance. Sustenance trade above these levels may add further momentum on upside.
Furthermore, Oscillators like RSI & MACD has given positive crossover which is a bullish setup.
Bank Nifty
Nifty Bank rebounded from day’s low of 24062 and closed higher at 24328.50 up 0.27 per cent. It failed to surpass ‘Upper Band’ of Falling Channel. Decisive trade above 24500 levels might take Index further higher till 24900 mark i.e. 200 SMA. Now if Index sustains below 24500 levels, then fresh selling can be seen till 23900 and then 23600 levels. Furthermore, Momentum Oscillators like RSI & MACD has given positive crossover which is a bullish setup.
Here are the top 5 stocks to buy today which acn give up to 4% return in the short term:
Lupin Limited | Rating: Buy | Target: Rs 798, stop loss: Rs 759 | Return: 2%
BEML Limited | Rating: Buy | Target: Rs 1109, stop loss: Rs 1060 | Return: 2%
Kaveri Seed Company Limited | Rating: Buy | Target: Rs 505, stop loss: Rs 487 | Return: 2%
Amara Raja Batteries | Rating: Buy | Target: Rs 829, stop loss: Rs 795 | Return: 2%
Multi Commodity Exchange of India | Rating: Buy | Target: Rs 728, stop loss: Rs 680 | Return: 4%