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/Coal-India-Ltd-12019 https://simplehai.axisdirect.in/share-stock-prices/nse/ICICI-Bank-Ltd-5418

1. Technical View (Equity)
Weekly call
Index CMP % up/dn S2 S1 P R1 R2
Nifty 10,526.75 -0.69% 10425 10475 10560 10610 10695
Sensex 34981.02 -0.62% 34670 34825 35095 35250 35520
Nifty Weekly Chart
Comments:
Nifty started the week on a positive note but witnessed selling at higher levels to end the week on
weak note. Nifty closed at 10527 with a loss of 156 points on a weekly basis.
On the weekly chart index has formed a bearish candle however it manage to maintain higher
High-low compare to previous session indicating positive bias. Strong support is placed at 10400
levels, if Nifty breaks this level more downside can be expected in Nifty. The chart pattern
suggests that if Nifty breaks and sustains below 10500 levels it would witness selling which
would lead the index towards 10400-10300 levels. However if index crosses above 10600 level it
would witness buying which would take the index towards 10700-10750. On the daily chart,
Nifty is now well placed above its 20 day SMA indicating positive bias in the short term. Nifty
continues to remain in a downtrend in the short to medium term, so selling on rallies continues to
be our preferred strategy. For the week, we expect Nifty to trade in the range of 10400-10750
with mixed bias.
The daily strength indicator RSI continues to remain flat indicating absence of strength whereas
momentum oscillator Stochastic continue to scale up indicating upside momentum to continue.
The trend deciding level for the day is 10560. If NIFTY trades above this level then we may
witness a further rally up to 10610-10695-10745 levels. However, if NIFTY trades below 10560
levels then we may see some profit booking initiating in the market, which may correct up to
10475-10425-10345 levels
Stocks to focus for intraday Long Adaniports, Zeel, Ipcalab, Capf, Chamblfert
Stocks to focus for intraday Short Coalindia, Hindunilvr, Icicibank, Indusindbk,
Jswsteel