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Nifty selling pressure to accelerate under 17,000; buy SBI, L&T among others for gains

23 Mar , 2023   By : Monika Singh


Nifty selling pressure to accelerate under 17,000; buy SBI, L&T among others for gains

Last Wednesday, the benchmark indices witnessed range-bound activity. The Nifty index ended 39 points higher while Sensex was up by 148 points. Among sectors, buying interest was seen in Pharma and PSU Banks stocks whereas intraday profit booking was seen in Media and Realty stocks. Technically, after a gap-up opening the market witnessed profit booking at a higher level. However, the intraday formation is still on the positive side.



We are of the view that for the traders now 17,000/57,800 would act as a crucial support zone. Above the same, the market could move up to 17,250-17,300/58,500-58,700. On the flip side, below 17,000/57,800 selling pressure is likely to accelerate. Below the same, the index could retest levels of 16,900-16,800/57,500-57,100. The strategy should be to buy between 17,100 and 17,050. Keep a stop loss at 16,980 for the same.




BUY | CMP: Rs 519.15 | TARGET: Rs 550 | SL: Rs 510

The counter had been in a declining trend in the past few sessions. However, at present there is a pause in its downward movement due to its strong multiple support levels. The counter is available near to its demand zone, which could act as a strong base in the coming horizon. Hence, bullish trend is expected to resume from the current levels.

Dalmia Bharat

BUY | CMP: Rs 1,837.75 | TARGET: Rs 1920 | SL: Rs 1790

On the daily chart, post reversal from its downward trajectory the stock is into a bullish trend and it is forming rising channel chart pattern. The texture of the chart pattern suggest upward movement from the current level is very likely to continue in the coming sessions.

L&T

BUY | CMP Rs 2205.25  | TARGET: Rs 2310 | SL: Rs 2160

For the past few weeks, the stock has been into a range bound mode with a higher low series formation. Meanwhile, on the daily scale, it has formed an ascending triangle chart pattern. The structure indicates breakout from the current levels and the beginning of a new up move in the counter.




Mahindra & Mahindra Fin. Services

BUY | CMP: Rs 231.1  | TARGET: Rs 240 | SL: Rs 223

After a medium term correction, eventually the stock took the support near 222 and reversed. Post reversal, it has formed double bottom formation and bounced back sharply along with the rise in volume activity. Looking at the overall pattern it offers buying opportunities for the positional traders with a decent risk-reward ratio. The trend reversal move is likely to continue up to 240 levels.



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