Yesterday we have witnessed profit booking in the second half of the session in the market. Nifty missed its target of 11400 and fizzled out from the high. Still, 11050 marks are crucial for the market.
Today we may again witness a volatile session due to weekly as well as monthly expiry.
Benchmark indices reversed most of Tuesday’s gains ending near the lowest point of the day. The BSE Sensex ended 1.1% lower to 38,071 while the Nifty ended above the 11,200 marks and down by 0.86% to close at 11,202. Both benchmark indices are back to being flat for the week. Market breadth ended in favor of the gainers. Around 1359 shares have advanced, 1300 shares declined, and 129 shares are unchanged.
The mixed trend was seen on the sectoral front with auto, energy, infra, and IT indices ended lower while buying witnessed in the pharma, metal, and FMCG sectors. The auto index was the major loser, ending 1.2% lower. The I.T. index snapped a three-day gaining streak, ending 0.9% lower. The Pharma index outperformed in today’s trade, led by gains in Dr. Reddy’s Laboratories (up 6.3%). The index ended 3.1% higher on the Wednesday trading session.
Technical View on Nifty and Bank Nifty
After surpassing the immediate hurdle of 11250. The Index marked a red candle; this could be a confirmation candle for Tuesday’s breakout. Any trading above yesterday high may rally for 11410. Bulls’ hopes are still alive. Technically, we have a target of 11410 which index missed yesterday.
Trend: Any dip above 11150 is a buying opportunity for a target of 11410-11520.
Nifty, according to Open Interest Data, the maximum call open interest stand at 11300 followed by 11500 indicates an immediate hurdle for the market, on the other side max put at 11000 followed by 11100 & 11200 indicates multiple supports for the market.
Valuation wise maximum Call & Put stand at 11200 indicate crucial levels for index. PCR at 11000 indicates an immediate support level.
Nifty future strategy for the day
Nifty support lays down at 11140, while upside resistance comes at 11250.
Either side of the move will give the next 100-150 points in the respective direction.
On the other hand, the financial benchmark Bank Nifty ended marginally lower on the EOD chart.
Nifty Bank Future strategy for the day
Support at 21900 and Resistance at 22400
Trend: Holding above 22500 for 30 minutes, It may witness short cover for 22800-23400. Else it may test 21900 on the downside
Buy above 22400 keep Stoploss 21900 for Targets 22800-23100
Top Stocks Recommendations for today (30th July 2020)
AURO PHARMA (Future) (August Contract)
Catch Auto Pharma around 810 levels. The stock looks positive on the chart.
Traders can buy this counter around 810 with a stop loss below 790 on a closing basis for an upside target of 830 +++ levels in days to come.
MANAPPURAM (Future) (August Contract)
Manappuram looks weak from the upper levels on the chart. Sell it below 178 levels.
Traders can sell below 178 with a stop loss above 183 on a closing basis for a downside rally of 172—170 levels in the coming days.
Catch IRB above 128.50 for the upside target of 140 and then to 145 in days to come.
Support and stop loss below 118 on a closing basis.
Traders can trade safely in Nifty and Bank Nifty with levels only. Keep stop loss and targets in advance as market may turn volatile at any time during the day.
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