Nifty has filled the gap that was placed at 10,800
BUY NIFTY | TARGET: 10,850 | STOP LOSS: 10,680
The Nifty index continued its up move and also filled a gap that was placed at 10,800. Nifty has also reclaimed its 61.8 per cent retracement levels of 10,550 on the closing basis. The momentum indicators and oscillators are very well in the buy mode on a weekly scale which hints that bulls are tightening the grip and current pullback is likely to extend further. The volatility index, IndiaVIX, fell by 2.6 per cent and ended at a 4-month low of 25.1 levels. The overall fall in the volatility is hinting of no major move in the short term which is giving comfort to the bulls. Thus, aggressive traders can initiate long positions with the strict stop loss of 10,700 and defensive traders should refrain from creating any aggressive bets in the index from here on and adopt a stock-specific approach.
BUY NESTLEIND | TARGET: Rs 17,500 | STOP LOSS: Rs 16,450
The stock formed an inside bar candlestick pattern on the daily chart which indicates a potential reversal in the trend. It is also taking the support of its 21-DMA which is placed at 16,500 levels. The momentum indicator RSI is also moving higher which hints that current rally is likely to continue further.
BUY DEEPAKNTR | TARGET: Rs 550 | STOP LOSS: Rs 495
The stock has provided breakout from a symmetrical triangle pattern on the daily chart and also trading well above its short term and long-term moving averages. The momentum oscillator MACD has also provided fresh buy crossover on the hourly scale which hints that the positive momentum may continue in the short term.
BUY LAURUSLABS | TARGET: Rs 575 | STOP LOSS: Rs 530
The stock is making a higher top and higher bottom pattern on the daily chart. It is also trading well above its short term and long term moving averages. The momentum indicator and oscillator are well in the buy mode on the weekly scale.