Breakdown below 11,750 would aggravate the selling pressure in Nifty
Nifty has reached a crucial support zone 11,750-11,783, which happens to be the unfilled gap formed on 4th Feb 2020. Low made on 25th Feb is exactly at the upward sloping trend line adjoining bottoms of 19th Sep 2019 and 3rd Feb 2020. Violation of 11,750 support may drag Nifty towards the 200 DMA support, currently placed at 11,684. The previous bottom on the Nifty daily chart is placed at 11,614, which can also act as far support.
Stock recommendation:
BUY ALKEM LAB (2640) | Target: Rs 2,800 | Stop-loss: Rs 2,500
Stock price has been consolidating for last 10 sessions. Primary trend of the stock is bullish with higher tops and higher bottoms on the weekly charts. Short term moving averages are trading above long term moving averages, indicating bullish trend for short to medium term.
BUY PHOENIX MILLS (933) | Target: Rs 1,010| Stop-loss: Rs 900
Stock price has registered new all time high significant jump in volumes. Stock price has broken out from the consolidation that held for last 7 weeks between 825 and 900. Stock is placed above all important moving averages, indicating bullish trend on all time frames.
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Disclaimer: The author is a Technical Analyst at HDFC Securities and may have positions in one or all of the above mentioned stocks. Views expressed are personal.
