Yesterday’s Pick
BANKNIFTY 12 JUNE 49300CE RS 7,500 ( PER 5LOT )
CHOLAFIN 27JUN24 1320 CE Rs 10,000 ( PER 2 LOT)
Nifty Technical View
Nifty 50 formed a small positive candle on the daily chart with upper and lower shadow. This pattern suggests a high wave candle pattern, which indicates significant volatility at the market highs. Usually, such a high wave pattern after a considerable upward move signals a warning for a possible reversal. However, since this pattern has formed after just one day of upward movement, its negative implications might be less significant. We believe that the short-term trend for Nifty remains positive, despite the high volatility. Having recently surpassed the resistance level of 22,250, Nifty could potentially rise to the next resistance level of 23,200 in the near future..
Indian Vix
The India VIX, known as the fear index, dropped significantly by 11.44 percent, closing at 16.80. This sharp decrease indicates a notable reduction in market volatility expectations, reflecting a calmer market sentiment and suggesting that investors are less anxious about potential market fluctuations.
FII And DII Data
Foreign institutional investors (FIIs/FPIs) sold Indian stocks, leading to a net outflow of Rs 6,867.72 crore. Meanwhile, domestic institutional investors (DIIs) were net buyers, acquiring Indian stocks worth Rs 3,718.38 crore during the same period.
Put Call Ratio
The Nifty Put-Call ratio (PCR), an indicator of market sentiment, rose slightly to 0.80 on June 7 from 0.75 in the previous session. A PCR above 0.7 or exceeding 1 usually indicates bullish sentiment, while a ratio below 0.7 or approaching 0.5 signals a bearish outlook. This slight increase suggests a marginally more positive market sentiment compared to the previous day.
Stocks in news
ICICI Bank
Markets regulator Securities and Exchange Board of India (Sebi) has issued a warning to ICICI Bank on the outreach undertaken by the lender regarding the delisting of ICICI Securities.
ITC
Paving the way for the listing of ITC Hotels, shareholders of diversified conglomerate ITC Ltd today approved the demerger of the hotels business.
Nifty and Bank Nifty Support and Resistance level
Nifty
Resistance 22,910, 23,120 and 23,245
Support based 22,690, 22,600, and 22,540
BankNifty
Resistance 49,500, 49,750, and 49,950
Support based 49,150, 48,900, and 48,670
Index Future levels
Nifty Futures Buy above 23000. The suggested targets for this are 23200 and 23,400, with a stop loss set at 22,753.
Bank Nifty future buy above 49,600 index is expected to see up side levels of 49900 and 50100 and level 49250 will act as a stop loss.
Fundamental Pick : BEL
Buy at ₹ 275 , target ₹309, stop loss ₹256.
Bharat Electronics Ltd (BEL) is an Indian government-owned aerospace and defense company, established in 1954. Based in Bengaluru, BEL specializes in designing, developing, manufacturing, and supplying a diverse array of products and services in defense and strategic electronics, including naval systems, radars, electronic warfare, homeland security, telecommunications, broadcasting, opto-electronics, tank electronics, and solar photovoltaic systems. BEL’s key products include military communication systems, electronic voting machines, sonar systems, avionics, radars, electronic warfare systems, opto-electronics, electro-optics, tank electronics, and solar photovoltaic systems. The company is renowned for producing notable brands like Akash, Trishul, Nag, and Prithvi missiles. Additionally, BEL is the leading manufacturer of military communication systems in India.
Bharat Electronics Ltd (BEL) shares have surged by 27% in the past month. In a move to modernize its image, the company has updated its employee uniforms for the first time in 37 years, collaborating with NIFT Bengaluru for the redesign. BEL’s stock is expected to rise further, supported by a significant anchor VWAP level at 285.00 on its daily charts. We predict that the company will benefit from the China Plus One strategy, leading to upward revisions in EPS estimates.
Happy Trading!
Commodity Samachar
Learn and Trade with Ease
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