Indian Stock Market witnessed a highly volatile session. Indian Indices opened gap up followed by making a high there we have witnessed profit booking in it and finally settled in green with marginal gain. Banking Stocks underperformed the Nifty index by 0.7%. Technically market is expected to gain momentum, above 14800, index price is likely to move for the target of 14900–15000.
Market Summary
Nifty Bank traded under pressure, heavyweights HDFC Bank and Kotak Bank witness a huge selloff. PSU Bank stocks are able to hold steady compared to private lenders. Indian IT stocks surpassed a global bearish tone in US tech giants and were trading on a higher note on Tuesday. The stocks also emerged among top gainers on exchange led by broad-based buying IT index has outperformed benchmark Nifty 50. Nifty Realty surged almost 3%, The sector resumes its bull run, DLF and Godrej Properties propelled the sector after a bearish tone on Monday.
Metal stocks continued their rising spree, with copper stocks witnessed massive buying sentiments. Almost all metal company stocks are performing higher since the start of this week led by demand lift which has given a sudden spike to base metal prices.
Auto stocks gained speed. Auto Index gained almost 1% with Tata Motors in the fast lane. Ashok Leyland and Bharat Forge were also bullish, while heavyweight Maruti drags. Indian Oil company stocks witnessed a sharp rally, as international crude oil prices continue rising spree.
The 30-share BSE Sensex closed at 49751.41 up around 7.09 points, or +.0.014%, over the previous day. The Nifty ended up around 32.10 points or +0.22% to close at 14707.80. Bank Nifty closed at 35148.00, closed with a loss of 106.55 points. Indian Volatility Index plunged -0.94% percent to close at 25.23. Market breadth ended in favor of bulls. Around 756 stocks on the NSE closed with a loss, while 1142 stocks ended with a loss, and 336 shares are unchanged.
Technical View on Indian Indices
Nifty
Nifty 50 prices closed in green with marginal gain, amid high volatility. It has formed a DOJI candlestick pattern on the daily chart. It has ended around 32.10 points higher at 14707.80 marks. Technically market is expected to gain momentum, leading to an upside projection till 14900–15000 levels in coming days. Buying momentum can be seen above the 14800 marks and may test resistance level of 15000 else may test support levels of 14500 and 14350.
Trend – As per technical, resistance laid down at 15000 and support around 14500. Below 14500 marks, the price may extend to 14300-14100 on the downside. Above 15000, it may test 15200-15500 on the upside.
According to Open Interest Data, the Maximum Call open interest stand at 15000 followed by 15200 and the maximum put at 14500 followed by 14300 indicates a broad range of trading in the upcoming session.
Valuation wise maximum Call & Put stand at 14800 & 14700 is a crucial range for the index. PCR maintained its support to 14500 levels.
Nifty Futures strategy for the day
Resistance comes at 14800 and Support lays down at 14500.
Strategy – Fresh sell below 14500 for the target of 14300-14100 OR Fresh buy above 14900 for the target of 15000-15200.
Bank Nifty
Bank Nifty marginally underperformed the Nifty index, Private Bank stocks continued to under pressure. Technically. below 35000 prices is likely to continue its weak move for 34700-34500 levels on the downside, else may test 36000-36200 on the upside side. Fresh buying would be seen only close above 36200 marks.
Bank Nifty Trend – Technically, immediate support comes at 35000 marks. Above 35500 it may rally for 36600-37700, else may test 34500-33000 on the downside.
Nifty Bank Futures strategy for the day
Resistance at 36200 and Support at 35000.
Strategy – Sell around 35000 for the target of 34700-34500 OR Fresh Buy above 35500 for the target of 36000-36600.
Top Stock Recommendations for today (24th Feb 2021)
APLAPOLLO (Cash)
Stock is ready for the resistance breakout on the daily chart. Traders can buy this counter above 1000 for an upside move till 1070 and then to 1100 levels.
Support and stop loss below 940.
BALKRISHNA INDUSTRIES (Futures)
The stock formed a bullish pattern and ready for a fresh bull run on the daily chart. We will expect a sharp upside move from the current levels. Traders can go long around 1600 for the upside to move till 1650 and then to 1700 levels in days to come.
Support and stop loss remains at 1565 a on closing basis.
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