NSE Nifty closed at the highest point of the current rally. The Nifty index has risen more than 1,650 points from its recent low of 15,671 recorded on March 08, 2022. Nifty has managed to hold above the 5-day moving average, which is currently positioned at 17,100-odds.
It appears that Nifty has found support in the gap area between 16987-17175, which was formed on March 17, 2022. Both Nifty and BankNifty indices closed on a very strong platform, therefore the current uptrend is likely to extend towards the next targets at 17484 and 17794.
Going forward, Nifty support has now moved to 17100, and the same should be maintained as stop loss on long trades.
GSFC – Buy
Target: 163 rupees
Stoploss: Rs 143 (last close Rs 150.30)
The share price has broken from the triple top resistance at Rs 139 on the daily charts. The stock price also broke out of the downward sloping trend line on the daily chart. A price breakout is accompanied by a jump in volumes. The stock is placed above all the important moving averages. Overall, the fertilizer segment has also been outperforming over the past two weeks.
Gujarat Alkali – BUY
Target: 815 rupees
Stoploss: Rs 735 (last close of Rs 758.80)
The stock is currently trading in a symmetrical triangle on the weekly chart. Over the past three sessions, the stock has been finding support at the individual levels of Rs 730. The main trend of the stock is bullish, as it has been holding its levels above all the important moving averages.
(Vinay Rajani, Technical Research Analyst, HDFC Securities. Opinions expressed are subjective.)