Benchmark index Nifty ended the day in the green with gains of 70 points, making it the third straight session of gains as bulls finally managed to take the index beyond the key resistance hurdle of 15,900, following several failed attempts. A sustained trade above 15,900 in the coming trading sessions will extend the uptrend, taking it higher to levels of 16,000-16,100. However, failure to keep its head above 15,900 may trigger profit booking, dragging the index lower to levels of 15,800-15,700, taking it back inside the trading range of 200 points.
Moreover, RSI on a shorter time frame chart remained under pressure, failing to move beyond the cluster of recent highs, i.e. 70-74, indicating that the breakout lacks momentum.
Equity recommendation
: BUY
- CMP: Rs 948
- Target: Rs 990
- Stop loss: Rs 925
Stock has resumed uptrend after breaking out of a narrow consolidation phase after its recent correction. Technical indicator RSI remains in the bull territory, suggesting extended upside in the stock.
: BUY
- CMP: Rs 1,458
- Target: Rs 1,535
- Stop loss: Rs 1,415
The stock has resumed its uptrend after taking support at the cluster of key short-term moving averages. Further, it is on the verge of a breakout from a trendline resistance placed at Rs 1,465. A successful breakout will extend the uptrend, taking the stock higher. RSI is also suggesting an extended uptrend in the coming sessions.
(Aditya Agarwala is Senior Technical Analyst, YES Securities. Views are his own.)
