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Below is Comment on Most Mid Market update By Mr. Chandan Taparia, Vice President, Equity Derivatives and Technical, Broking & Distribution, Motilal Oswal Financial Services Ltd

Nifty opened gap up and has taken support at lower levels near 17000 and moving higher. On the daily scale the index is making higher highs which indicates that the trend is intact to positive. India VIX has cooled off and is at 17 levels which is providing comfort to the market to scale higher. Now as long as the index is above 16988 we can expect higher levels of 17250 and 17350 whereas on the lower side we can expect support at 16888 and 16750. Market breadth is positive which is indicating that there is buying interest at lower levels.

Today, we are witnessing positive move in Metals, IT, Auto, Realty, Banking and Media while some weakness was witnessed in FMCG and Pharma sector.

Bank Nifty opened with a gap up but there was some profit booking visible at higher levels. On daily scale, Bank Nifty has surpassed the falling supply trendline on the daily scale and sustaining well above it and is also forming higher highs since last 3 trading session. So now as long as the index is above 37250 we can expect higher levels of 37750 and 38000 whereas support can be placed at 37250 and 37000 zones.

Today, we are witnessing long built up in stocks like TVS Motors, Delta corp, MFSL, SBI Life and Rain etc. while short build-up is visible in counters like M&M fin, Jubfood, Ibulhsgfin and Srtfinance etc.

The overall trend is positive in Nifty as long as the support levels are held. We can utilise any dip as a buying opportunity for higher levels. At current juncture, we are advising to be with selective stocks and one can look for buying opportunity in HDFC ltd, Oberoi Realty, JK Paper and TechM.

Above views are of the author and not of the website kindly read disclaimer