By Subash Gangadharan
On the each day chart, we will observe that after just lately breaking the lows of 15735 and touching a brand new 52-week low final week, NSE Nifty 50 bounced again this week. But the bounce has not sustained as promoting as soon as once more emerged from the resistances and pushed the Nifty index decrease. Technical indicators too usually are not giving any optimistic alerts because the Nifty index trades under a downward sloping 20 day and 50 day SMA. 14-week RSI too is weakening. Nifty might now be headed in direction of the subsequent main intermediate assist of 14592 within the coming weeks.
Our view would flip incorrect if the Nifty manages to take out the resistances of 15565-15707. Traders ought to watch for power to emerge earlier than going aggressively lengthy.
The under picks are for the subsequent 15-26 buying and selling classes
Sell Escorts
Escorts is in an intermediate downtrend because it has been making decrease tops and decrease bottoms for the final a number of weeks. Last week, the inventory broke down from a buying and selling vary and closed under the 50 week SMA. This signifies that the downtrend seems set to proceed.
Technical indicators are giving adverse alerts because the inventory is now buying and selling under the 20 day and 50 day SMA. And each these shifting averages are sloping down. Momentum readings just like the 14-day RSI are in decline mode and never oversold, which means potential for extra downsides.
We subsequently count on the inventory to appropriate additional within the coming classes. Sell between the 1475-1485 ranges. CMP is 1479.9. Stop loss is at 1605 whereas draw back goal is at 1300.
Sell Sun Pharmaceutical Industries
Sun Pharma is in an intermediate downtrend because it has been making decrease tops and decrease bottoms for the final a number of weeks. Last week, the inventory broke under the 50 week SMA and 200 day EMA. After a minor pullback this week, the inventory has once more began to maneuver decrease. This signifies that the downtrend seems set to proceed.
Technical indicators are giving adverse alerts because the inventory is now buying and selling under the 20 day and 50 day SMA. And each these shifting averages are sloping down. Momentum readings just like the 14-week RSI too are in decline mode and never oversold, which means potential for extra downsides.
We subsequently count on the inventory to appropriate additional within the coming classes. Sell between the 805-815 ranges. CMP is 809.95. Stop loss is at 851 whereas draw back goal is at 750.
(Subash Gangadharan is a Senior Technical and Derivative Analyst at HDFC securities. Views expressed are the creator’s personal. Please seek the advice of your monetary advisor earlier than investing.)
Source: www.financialexpress.com”
