With the financial year ending, today’s March 2021 F&O expiry was expected to be volatile. If the Nifty/ Sensex would have closed below the 14,250/48,200 levels, the market would have fallen further near to its big support of 14,000/47,500.
Overall, the Nifty/Sensex is poised to move closer to 14,500/50,200 and 14,700/50600 levels. A buying position should be created in the market with a stop loss at 14,250/48,200. Even today, all the sectors closed in the negative territory. However, there was a good recovery in bank stocks. The metal stocks also shined once again. The focus should be on bank stocks as they have fallen to their crucial supports.
Tech Picks
Analyst: Shrikant Chouhan, Executive Vice President – Technical Research
ICICI Bank: BUY
CMP: Rs 571.55
Target: Rs 590
Stop loss: Rs 560
Reversal candlestick formation is near an important support zone on the daily chart with incremental volume activity is apparent for fresh up move.
SAIL: BUY
CMP: Rs 72.25
Target: Rs 77
Stop loss: Rs 70
Strong reversal formation with hammer candlestick pattern at key Fibonacci retracement level is evident on the daily chart.
HDFC: BUY
CMP: Rs 2,470.75
Target: Rs 2,550
Stop loss: Rs 2,430
The rounding bottom chart pattern along with the sloping trend line breakout on the intraday time frame indicates a strong up move in the near term.
Eicher Motors: SELL
CMP: Rs 2,580.45
Target: Rs 2,500
Stop loss: Rs 2,620
The stock has been trading in an Ascending triangle and the failure of the same chart pattern is seen on a daily scale.
F&O Strategy
Analyst: Sahaj Agrawal, Head of Research – Derivatives
Futures:
BUY Inds Future April at Rs 1,770
Stop loss: Rs 1,680
Target: Rs 1,850
Throwback post Descending Triangle breakout above Rs 1,760 on spot.
Options: Nifty Long Call Butterfly: 29 Apr-21 Series: Buy 14,500 CE 1 Lot @ 355
Sell 15,000 CE 2 Lots @ 145
Buy 15,500 CE 1 Lot @ 55
Premium Outflow: 120
Target: 300
Nifty saw an intense selling over the last few trading sessions, while breaching the recent swing low of 14,350. However, going forward, over the next few weeks, markets are expected to see a ranging activity. Levels of around 14,000 should act as a support, while on the higher side, 15,100 could be the resistance. The implied volatility is also quoting at around 75 percentile. In this situation, a Butterfly is apt.
Forex & Interest Rate Technical
Analyst: Anindya Banerjee, DVP, Currency Derivatives & Interest Rate Derivatives
USD-INR: Sell between 72.80/72.95
Target: 72.40/20
Stop loss: 73.10
Commodity Calls
Analyst: Ravindra Rao, VP- Head Commodity Research
| Commodity | Exchange | Strategy (Figures in Rs) |
| Gold (Apr) | MCX | Buy at 44,600/44,550; TP: 45,150/45,300; SL: 44,300 |
| Crude Oil (Apr) | MCX | Buy at 4,320/4,300; TP: Rs 4,480/4,520; SL: 4,240 |
| Copper (Apr) | MCX | Sell at 666/667; TP: 656/654; SL: 672 |
| Soybean (Apr) | NCDEX | Buy at 5,720/5,700; TP: 5,860/5,880; SL: 5,640 |
