JamaWealth founder-CEO Ram Kalyan Medury also said that after the recent flurry of activity, even the primary markets could mellow down due to the global macro situation
Strike selection plays a very big role in Option Writing trades. What strike we select decides the amount of returns we will be making as well as the amount of risk that we will have to bear.
Now, 18,500 is expected to be a crucial level for the Nifty50 and if it sustains it then 18,600 is on the cards in coming sessions which ultimately can open the door for 18,800-19,000 levels, with crucial support at 18,300-18,000 levels, experts said.
The key financial metrics like NPA are likely to continue to improve in the rest of FY2023, backed by strengthened balance sheets and an improving credit demand outlook, especially for working capital, Arun Malhotra of CapGrow Capital says.
On November 24, the Nifty 50 reported a record closing high of 18,484 and now remains 120 points away from its previous record high of 18,604.
RCF is at 52-week high level indicating strong price momentum and room to move higher. The stock has given a multi-year breakout which points towards the beginning of a fresh trend on the upside.
Indoco Remedies shares rallied more than 7 percent to Rs 415.35 and formed long bullish candle on the daily charts with strong volumes. Overall it has seen a good run up after breaking out long downward sloping resistance trend line adjoining August 12, 2021 and August 3, 2022.
Experts said that the sustainability of the 18,400 mark in coming sessions could push the index beyond the 18,600 mark, with crucial support at the 18,300 and 18,000 levels.
There is no known event that will keep markets volatile — the data and facts point to an optimistic situation for the markets, says Vikas V Gupta of OmniScience Capital.
The banking index remains in a buy-on-dip mode as long as the mentioned support levels are held. The momentum oscillators are in the buy zone which will confirm the strength of the index.
GNFC is expected to be retesting a breakout of a rounding bottom formation after five years on the weekly timeframe whereas on the daily timeframe the stock is likely to be taking support from a support zone and bouncing with high volumes which can be used as a confluence towards the bullish view.
KPIT Technologies shares rallied more than 6 percent to Rs 727 and formed long bullish candle on the daily charts with above average volumes. There was a breakout of long downward sloping resistance trend line adjoining January 10 and November 17 this year.
Range-bound trade is expected to continue with immediate support at 18,200 and resistance at 18,400, experts said
Talking about the banking sector, Duggad mentioned that investors saw good performances from both public and private sector banks, at a time when global markets have been struggling on several fronts.
Green Portfolio is positive on banking sector but is also closely watching the macro developments as this sector has a high correlation to the macro developments.
Castrol India was in focus, rising 3.5 percent to Rs 134.55, the highest closing level since November 15, 2021 and formed healthy bullish candle on the daily charts with above average volumes.
West Coast Paper Mills is looking lucrative on technical fronts. It is bouncing back from around a 50 percent retracement of the previous rally. It is trading above its all-important moving averages in a long consolidation formation.
The index has been moving in the 18,000-18,450 range and consolidation is expected to continue in the coming sessions due to a lack of triggers on the domestic front, experts said
The most important factor that drives the markets in the short term is liquidity. Domestic liquidity has been extremely strong and our stock markets have done relatively well compared to other MSCI emerging markets, despite the relentless FII selling.
Finolex Cables was also in focus, rising nearly 7 percent to Rs 567.5, the biggest closing level since December 15, 2021 and formed healthy bullish candle on the daily charts with large volumes. Also there was a big breakout of nearly month long consolidation.
NLC India has broken out from the bullish Cup and Handle pattern on the daily chart. Price Breakout is accompanied with jump in volumes.
The index has managed to take support at 18,100 in Monday's correction. With negative divergence in RSI, the weakness might continue with crucial support at 18,000, whereas the upside is likely to be capped at 18,450, experts said.
Chief market strategist Anand James says despite VIX sinking to 15, the risk appetite has not been strong enough to trigger a sustained rally across Nifty stocks
Breaching either side of 18,200-18,450 range can give some kind of direction to the market in the coming days, but having a monthly expiry and FOMC minutes scheduled this week, volatility and consolidation is at the top before any kind of big move on either side of range
With the dollar peaking, and the chances of a US recession not low, global funds will want to allocate more to emerging markets. India should be at the top of their list.