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/Cipla-Ltd-114

1. Technical View (Equity)
Daily call
Index CMP % up/dn S2 S1 P R1 R2
Nifty 10,146.80 -0.96% 10035 10090 10155 10210 10275
Sensex 33847.23 -0.84% 33555 33700 33890 34035 34220
Nifty Daily Chart
Comments:
Nifty opened with a downward gap and witnessed extreme volatility on either side for most part of the
session. Nifty closed at 10147 with a loss of 98 points.
On the daily chart index has formed a small bullish candle however it has formed lower high-low and
closed below previous session's low indicating negative bias. 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 breaks and sustains below 10100 levels it would witness selling which would lead the index
towards 10000-9950 levels. However if index crosses above 10200 level it would witness pullback rally
which would take the index towards 10250-10300 levels. Nifty is trading below 20 ,50 and 100 day SMAs
which are important short term moving averages, indicating negative bias in the short to medium 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 and momentum oscillator Stochastic both are moving downwards and
are below their respective reference lines indicating negative bias.
The trend deciding level for the day is 10155. If NIFTY trades above this level then we may witness a
further rally up to 10210-10275-10330 levels. However, if NIFTY trades below 10155 levels then we may
see some profit booking initiating in the market, which may correct up to 10090-10035-9970 levels.
Stocks to focus for intraday Long Apollohosp, Bajaj-auto, Bel, Colpal, Hindpetro
Stocks to focus for intraday Short Abfrl, Biocon, Cipla, Cyient, Hdfclife