Initiation range: 2,410-2,420
Asian Paints has been seeing correction for the last two months, after making a new record high at 2873.45 levels. It has formed a base around the support zone of the medium-term moving average(100 EMA) on the daily chart and likely to see a rebound now. We thus advise creating fresh longs in the mentioned zone.
Initiation range: 1,330-1,340
Most IT stocks are holding strong despite the recent volatility in the market and now look upbeat for a rebound. Among the IT majors, Infosys has formed a fresh buying pivot on the daily chart, after a week-long consolidation. The chart pattern and positioning of indicators are further adding to the confirmation.
Recommendation: Sell March Futures
We’re seeing profit-taking in most of the pharma counters and Cipla has witnessed a fresh breakdown today i.e. March 9, after hovering in a narrow range for two weeks. Further, weakness in the pharma index is pointing towards the prevailing corrective trend to continue. We thus advise creating fresh shorts in the mentioned zone.