Rupak De News Today

Market volatility persists amid global concerns, but stock-specific opportunities exist. Technical analysis suggests bullish reversals for ICICI Bank, Samvardhana Motherson, and DLF. Focus on potential winners like Just Dial for further upside amid ongoing challenges in various sectors.

Nifty and Sensex soar to new highs in the financial year 2023-24, with retail investors outperforming institutional ones. Rupak De predicts increased trading activity this week due to F&O contracts expiry and shares top stock ideas. De also says if Nifty fails to sustain above 21,950-22,000, the index might enter a consolidation phase.

The Nifty chart for monthly expiry is likely to consolidate within the bands of 21500 and 21700, with support at 21,300. A breakout on either side would confirm a directional move, with a move above 21700 inducing an up move. The negative correlation between Nifty Bank and Nifty IT is expected to continue as HDFC Bank stock selloff has been contained. Rail stocks like IRFC and RVNL continue to gain momentum, making them attractive for trading. Top ideas for the week include buying RITES, BPCL, a...

Sentiment could potentially deteriorate further if Nifty drops below 21,550, where the 21EMA is situated.

​As the FII might not return to the market on the very first day of the New Year, the market may remain sideways to slightly negative. “A drop below 21,650 might be the first signal for long unwinding.

“Going forward, 21000 is likely to act as a crucial level for the Nifty as call writers have built their maximum positions at that strike price. A resumption of the current uptrend might be seen above 21000, with the potential to reach 21550.”

“Following RBIs tightening measures, the Bank Nifty has consolidated at lower levels, with four of the five largest banks dropping below their 200-DMA. The sentiment appears sideways in the short term. The level of 44,000 is poised to remain a pivotal point; a decisive move above this mark could potentially trigger a substantial rally for the index.”

Bank Nifty discovered support at the 21-day Moving Average (DMA) before surging towards the days peak. The prevailing trend indicates a potential movement of the index towards 44000/44200. At the lower end, 43500 is expected to serve as robust support. A breach below 43500 could potentially lead the index towards the range of 43000-42800.

"In the September series, the Nifty appears to be in a bullish trend as it has just crossed above the 21-day Exponential Moving Average (EMA) for the first time in several days. This suggests the potential for a bullish reversal. Looking at the higher end of the spectrum, there is now a resistance level at 19,530 points. If the Nifty manages to breach this resistance, it could signal a continuation of the uptrend."

“The price action demonstrates an inability to sustain higher levels, curtailing the scope for significant upward movements. This pattern indicates a market environment where caution and strategic planning are crucial, considering the challenges posed to sustaining profitable long positions,” he says.