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/DLF-Ltd-6890

1. Technical View (Equity)
Weekly call
Index CMP % up/dn S2 S1 P R1 R2
Nifty 10,226.85 -0.15% 10160 10195 10245 10280 10330
Sensex 33307.14 -0.13% 33100 33205 33360 33465 33625
Nifty Weekly Chart
Comments:
Nifty started the week on a flat note but continued its previous week's negative momentum to end the
week on a weak note. Nifty closed at 10227 with a loss of 232 points on a weekly basis.
On the weekly chart the index has formed a long bearish candle forming lower High-Low compare to
previous week and has closed below its low indicating weakness at current levels. On the weekly chart
Nifty has closed below its ten months Up –sloping Trend line support zone of 10270 levels on closing
basis indicating shift of trend to the downside. The index is moving in a Lower Top and Lower Bottom
formation on the daily chart indicating negative bias. Since past couple of sessions index is hovering
around its 200 day SMA (10130) which remains a crucial support zone to watch for. The chart pattern
suggests that if Nifty crosses and sustains above 10300 levels it would witness buying which would lead
the index towards 10410-10520 levels. However if index breaks below 10150 level it would witness
selling which would take the index towards 10070-9980. Nifty is trading below 20 ,50 and 100 day SMA's
which are important short term moving average, indicating negative bias in the short to medium term.
Nifty continues to remain in an uptrend in the medium term, so buying on dips continues to be our
preferred strategy. For the week, we expect Nifty to trade in the range of 10360-10000 with a negative
bias.
The weekly strength indicator RSI and momentum oscillator Stochastic have both turned negative and
are below their respective reference lines indicating negative bias
The trend deciding level for the day is 10245. If NIFTY trades above this level then we may witness a
further rally up to 10280-10330-10365 levels. However, if NIFTY trades below 10245 levels then we may
see some profit booking initiating in the market, which may correct up to 10195-10160-10110 levels
Stocks to focus for intraday Long Hexaware, GEPIL, Suprajit, Rkforge, Jublfood,
Bajajfinance, Marico
Stocks to focus for intraday Short Jindalsteel, Justdial, DLF, Igl, Century Text., Dish
Tv, Ajantapharma