Axis Direct presents daily derivatives report presenting recommendations based on technical analysis. For trading in derivatives visit https://simplehai.axisdirect.in/offerings/products/derivatives https://simplehai.axisdirect.in/share-stock-prices/nse/Yes-Bank-Ltd-25267

1. Technical View (Equity)
Daily call
Index CMP % up/dn S2 S1 P R1 R2
Nifty 10,549.15 0.58% 10250 10400 10485 10635 10715
Sensex 35150.01 0.54% 34145 34650 34930 35430 35710
Nifty Daily Chart
Comments:
Nifty opened with a downward gap but witnessed buying from the opening tick to end near the day's
high. Nifty closed at 10549 with a gain of 61 points.
On the daily chart the index has formed a Bullish candle which has totally engulfed its previous day's
move forming a "Bullish Engulfing" candlestick formation which is a bullish reversal formation. For such
formation confirmation is necessary, so if the index breaks above previous day's high(10567) it would
witness a change of trend to the upside. The index is moving in a Lower Top and Lower Bottom
formation on the daily chart indicating negative bias. The chart pattern suggests that if Nifty crosses and
sustains above 10600 levels it would witness buying which would lead the index towards 10650-10700
levels. However if index breaks below 10500 level it would witness selling which would take the index
towards 10450-10400 levels. Nifty has closed above its 50 day SMA which is important moving average,
indicating positive bias in the short term. Nifty continues to remain in a downtrend in the short term, so
exit on small pullback rallies to be our preferred strategy.
The daily strength indicator RSI is moving downwards and is quoting below its reference line indicating
negative bias. However momentum oscillator Stochastic has turned positive from the oversold zone
indicating a possible consolidation or an up-move in the near term.
The trend deciding level for the day is 10485. If NIFTY trades above this level then we may witness a
further rally up to 10635-10715-10865 levels. However, if NIFTY trades below 10485 levels then we may
see some profit booking initiating in the market, which may correct up to 10400-10250-10165 levels
Stocks to focus for intraday Long Bajfinance, Drreddy, Titan, Yesbank, Apollotyre,
Beml
Stocks to focus for intraday Short Aiaeng, Atul, Godrejprop, Kprmill, Nlcindia,
Suntv