IGI Logo

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 with gap up and is stuck in a range but sustaining at higher levels. The index has surpassed its 20 DEMA and is sustaining at higher levels which indicates strength. Any dip towards lower levels of 16061 can be utilized as a buying opportunity for higher levels. India VIX has cooled off a bit and is around 20 zones. However it needs to cool down below 18 for stability and a directional move in the market. Now till it has to hold above 16061 zone for an up move towards 16161 and 16250 whereas support is placed at 16061 and 15888. Market breadth is positive which indicates that there is buying interest in the market.

Today, we are witnessing positive move in all the sectors including PSU Banks, Realty, Auto, IT, Metals, Pharma and Media space.

Bank Nifty opened gap up in line with the broader market and is trading in a range of 200 points. There is some strength visible in PSU banking space which is providing support for the prices to inch towards higher levels. On daily scale Bank nifty has taken support at the 20 DEMA. Now it has to hold above 34500 zones for an up move towards 35000 and 35250 zones whereas supports are placed at 34250 and 34000 zones.

Today, we are witnessing long built up in stocks like ABB, Tata Chem, M&M, HAL and Bank of Baroda etc. while short build-up is visible in counters like Godrejcp, IOC, reliance, Voltas and M&Mfin.

Nifty is showing strength and is sustaining above psychological 16000 mark and indicating strength. Bank Nifty has been in a range with positive bias. Any dip should be utilised 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 SBI, Eicher Motors, Kotak bank and M&M.

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