Jubilant Life's stock is witnessing resistance breakout from the levels of Rs 760
The Indian markets
traded with mixed sentiments last week and witnessed sharp short covering move from its immediate support level of 11,100. However, the Nifty closed above 11,100 which might act as immediate support level and might be crucial for this week as the monthly expiry is on July 30 (Thursday). On Friday, Nifty managed to close at 11,194.20, slashing 21.30 points. Technology stocks traded with positive sentiments whereas metal, PSU banks and financial stocks closed in the red. Nifty bank closed at 22,662, slashing 421.90 points from the previous day’s closing.
As per weekly option data, handful of call writing can be seen on higher strikes ranging from 11,200 to 11,400 which shows Nifty would face resistance in the sub 11,200 zone. The level of 11,000 might act as support as maximum put open interest (OI) is placed there. We can witness short-covering move along with addition of fresh position only if Nifty breaches 11,200. Therefore, traders should try to create short position keeping a close eye on 11,200.
We can see a big momentum in following stocks:
The stock is witnessing resistance breakout from the levels of Rs 760. It iis forming bullish flag pattern and trading above its important moving averages. Further buying momentum would be witnessed if the stock moves above 760. Considering the technical evidence discussed above, we recommend buying the stock above 760 for the target of Rs 794, keeping a stop loss at Rs 735 on a closing basis.
Buy Glenmark Pharmaceuticals Limited (Above Rs 431)
The stock is trading at its resistance placed in zone of 431 and forming reversal pattern on the weekly chart. If, somehow, the stock breaks this level, it might move into the next resistance zone which is placed at 470. The stock is showing signs of strength on hourly charts. Breakout from this level would lead the stock to witness more upward movement. We recommend buying the stock above 431 for the target of Rs 455, keeping a stop loss at Rs 419 on a closing basis.