It was a difficult week. We did see strain to a big extent throughout the board. What’s your tackle the markets now? Do you see the indices performing within the coming week?
Rajesh Palviya: Sure, Nifty corrected by virtually 1.30% this week. It has now slipped under the 20-day shifting common on a weekly closing foundation, which is a damaging improvement for the near-term Nifty construction.
Wanting on the put-based focus, Nifty is presently buying and selling under the key put base at 25,300. On the decision facet as properly, main writers have shifted their positions to the 25,300 and 25,200 strikes. This clearly signifies that we could witness additional strain if Nifty continues to commerce under the 25,300 stage subsequent week. That stage will act as a big resistance for the approaching week.
Any transfer above 25,300 could set off brief masking. So long as Nifty trades under 25,300, the draw back may lengthen to 25,050 and even 25,000, that are main near-term help ranges. So, the broader vary could possibly be between 25,000 and 25,300. A breakout on both facet will decide the following main directional transfer.
As for Financial institution Nifty, it’s presently buying and selling close to its 20-day shifting common help, which is positioned at 56,600. If Financial institution Nifty breaks under this stage, we may see extra unwinding strain, probably dragging it right down to 56,200. On the upper facet, vital name writing has been noticed on the 57,000 strike, making {that a} main resistance zone within the close to time period. A transfer above 57,000 may additionally result in brief masking in Financial institution Nifty.
Nifty Midcap has additionally slipped under the 20-day shifting common, and lots of shares witnessed revenue reserving this week. So, we could proceed to see some strain or extra profit-taking within the subsequent two to 3 buying and selling periods.
I additionally wish to know your buying and selling concepts. These are difficult occasions – we consider shopping for the dips, nevertheless it’s exhausting to estimate how a lot additional the market may fall. Nonetheless, what buying and selling concepts do you counsel?
Rajesh Palviya: If we analyse sector-specific actions, the FMCG basket has carried out properly regardless of the volatility. From this area, Dabur seems promising. The inventory has given a breakout on the weekly chart from a contracting triangle sample and is now comfortably buying and selling above the 200-day shifting common. This means a possible reversal.On the weekly chart, Dabur has posted a better excessive–larger low formation for the third consecutive week, suggesting sustained shopping for curiosity. Dabur is a purchase with an upside goal of ₹555, and a cease loss at ₹518.
One other inventory we’re specializing in is Piramal Enterprises. This inventory additionally seems bullish. It gave a breakout above its earlier swing excessive from June throughout right now’s session. Given the breakout within the near-term and short-term buildings, we imagine Piramal Enterprises may lengthen its positive aspects. We’re projecting a goal of ₹1,265. The technique can be to purchase and accumulate with a cease loss at ₹1,175.
I wish to draw your consideration to the FMCG sector, significantly HUL. It was the star performer right now, pushed by information move. From a technical perspective, does this inventory have additional upside potential?
Rajesh Palviya: HUL had been underperforming for the previous few months. Nevertheless, right now’s information move led to a breakout. On the weekly chart, there is a breakout above a falling trendline, and the inventory is now buying and selling above the 200-day shifting common.
If HUL sustains above the two,480 zone, the rally may lengthen additional. Quick masking has already performed out, and we may even see the inventory transfer towards ₹2,580. The complete FMCG basket had been consolidating for just a few months, however now a number of shares are displaying breakouts on the near-term charts.
As mentioned earlier, Dabur seems robust. Marico can be holding floor, and Godrej Client is displaying power within the close to time period. General, the FMCG sector appears poised for additional upside, and we may even see continued momentum in each Nifty FMCG and FMCG shares. One can contemplate shopping for HUL, Dabur, and Marico—all look engaging.
Together with HUL, Glenmark Pharma additionally carried out properly right now. It opened with a 9–10% leap and ended the session up round 14%, pushed by the information that its arm has inked a $700 million international licensing deal. Do you assume that is only a news-driven rally, or is it sustainable? Ought to buyers contemplate exiting?
Rajesh Palviya: We’ve beneficial this inventory a number of occasions in our interactions in your channel. Right this moment’s transfer marked a breakout from a rounding backside formation on the each day and weekly charts. Given the depth of the shopping for, we imagine there’s extra upside potential.
You may await some cooling off towards the ₹2,150–₹2,120 zone. If the inventory dips to these ranges, it could current a very good re-entry alternative. Given the breakout, we’re concentrating on ₹2,400 for Glenmark Pharma. The technique can be to purchase and accumulate, with a cease loss at ₹2,100. Traders can maintain current positions or provoke new ones on minor dips.
