Indian Stock Market: Domestic benchmark equity indices, Sensex and Nifty 50, closed with gains in Thursday's session despite facing volatility throughout the trading day. The 30-share BSE Sensex closed at 77,478.93, up 141.34 points or 0.18 per cent. Meanwhile, the Nifty 50 closed at 23,567.00, up 51.00 points or 0.22 per cent.
“The Nifty index opened on a positive note and fluctuated in a range of 180 points throughout the day. It remained in the range of the previous session and closed with a gain of around 50 points. It formed a doji type candle with a long lower shadow on the daily frame. The Nifty index has been moving in a narrow trading band of 250 points for the last four trading sessions. On Wednesday, it made a new lifetime high of 23664 points, but buying momentum is low in the market. Now, it has to sustain above 23500 zones to move towards 23664 and 23750 zones, while support is held at 23400 compared to 23350 zones,” said Chandan Taparia, Head – Equity Derivatives & Technical, Broking & Distribution, MOFSL.
India VIX fell by 2.68 percent to 13.34 from 13.71. Volatility has been increasing slightly for the last three sessions, leading to fluctuations in the upward direction.
On the Options front, maximum Call OI is at 24000 and then 23500 strike while maximum Put OI is at 23000 and then 23300 strike. Call writing is seen at 23600 and then 23800 strike while Put writing is seen at 23500 and then 23300 strike. Options data suggests a broad trading range between 23200 to 24000 zone while an immediate range is between 23400 to 23700 levels.
Bank Nifty
On Bank Nifty outlook, Taparia further added, “Bank Nifty index opened on a positive note and consolidated in a broad range of 500 points between 51300 to 51800 zone throughout the trading session. After a sharp surge in the previous session, it formed an inside bar on the daily scale and ended with a gain of around 390 points near the 51800 zone. The index has been forming higher lows since the last three sessions as supports are gradually moving upwards. Bank Nifty outperformed the Nifty index in the last four trading sessions and made a new lifetime high of 51957 levels. It formed a bullish candle on a weekly basis. Now it has to sustain above the 51500 zone to move towards 52250 and then 52500 zone, while on the downside supports are located at 51500 and then 51250 levels.”
Chandan Taparia has suggested three stocks to buy on June 14. According to him, these stocks are technically ready for a good rally. These are IDFC Bank, Vedanta and Exide Ind.
Stocks to buy
IDFC Bank: BUY 83.80 | Target Price: 92 | Stop Loss: 80
IDFC First Bank has given a Falling Channel breakout on the daily chart and an Inside Bar breakout on the weekly scale.
Vedanta: BUY 470 | Target Price: 500 | Stop Loss: 455
Vedanta has given a trend line breakout on the daily chart. Buying is seen in the metals sector, which can support the ongoing uptrend.
Exide Industries: BUY 572 | Target Price: 600 | Stop Loss: 555
Exide is in a continuous bullish momentum and is making gains at higher levels. It has been making the highest level for the last four months and the support is gradually moving upwards.
Disclaimer: The views and recommendations expressed in this analysis are those of the individual analysts or broking companies and not of Mint. We strongly advise investors to seek advice from certified experts before making any investment decisions, as market conditions can change rapidly and individual circumstances may vary.
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