It has been quite a sell-off on the benchmark indices. Give us your take that 23,200 now broken, what is next for Nifty 50 and Nifty Bank?
Sneha Seth: If we look at the market, yes, we have seen decent selling pressure. And looking at the levels of 23,800 and from there how Nifty was consolidating, there were chances of some profit booking. But yes, the profit booking has been more than what we expected.
Yes, 23,200 was an immediate support and going forward, I believe 23,000, 23,100 is a very important support zone. In case of any correction below this, that would not be a very healthy sign.
On the levels wise, on the upside, I believe 23,800, 23,850 would be an important resistance zone now, only in case of any buying interest above this level, then only we may see some positive sentiments coming in. Otherwise, there are chances that Nifty can consolidate in a range wherein 23,000 is likely to act as a support zone.
Stock specific wise, give us and help us with your stock picks.
Sneha Seth: I have a two-buy call again, as we discussed, you were also discussing HDFC Life, that counter has been showing some strength and I believe recently we have given this counter as a buy initially even.
If you see the chart structure, this counter has made a very strong base around 600 zone, was consolidating in a very narrow range, after that we have seen this counter surpassing the resistance zone, placed around 670 odd zone.
And looking at the overall strength, what we are seeing in today’s session even, I believe we may see follow-up buying interest at least towards 720.
So, keep a strict stop loss around 677 and go long over here. Apart from this, Nykaa also looks good. This counter again has been consolidating and recently it is trading around the 200-day simple moving average.
On a closing basis, if this counter manages to surpass 180 zone, I believe we may see some momentum-based buying. In fact, at this level also this counter manages to close, there is a chance of a strong up move because if you see the daily chart structure, there is a falling trend line resistance which this counter has managed to surpass today. So, I believe one can go long here with a strict stop loss of 172 and the target would be around 192.
