Nifty Takes a Breather, Bank Nifty Leads the Charge

Yesterday’s Pick:

GAIL 25APR24 185 CE  BUY 8.50 to 12

PFC 25APR24 410 CE BUY 18.50 to 20

Investment Pick HINDCOPPER  305 to 318

Short Term Pick ESCORTS CASH BUY 2950 to 3000

HDFCBANK 25 APR 1490CE 32 to 35

(Swing Trade )HINDALCO CASH BUY 545 to 580

NIFTY 25APR24 FUT SELL  22550 to 22530

Nifty Technical View:

The Nifty 50 index recently showed a pattern called an inverted hammer on its daily chart. This pattern suggests there could be a change in direction soon. Right now, the index is trading in a small range between 22,300 and 22,550. When the price breaks out of this range decisively, it could start a new trend.

Indian Vix :

The India VIX, also known as the fear index, has been consistently falling for three days in a row. This drop of 2.4 percent brings it down to a level of 11.37. This decline is good news for bullish investors because when the VIX goes down, it means investors are feeling less anxious about the market’s future. So, the fact that the fear index is decreasing suggests that bullish sentiment is increasing, making investors more confident about the market’s direction.

FII and DII:

Foreign Institutional Investors (FIIs) sold shares valued at Rs 2,213.56 crore, while Domestic Institutional Investors (DIIs) purchased shares worth Rs 1,102.41 crore. This indicates that foreign investors were selling more than they were buying, whereas domestic investors were buying more than they were selling in the stock market on that particular day.

Put Call Ratio:

The Nifty Put Call ratio (PCR) slipped to 0.95 from the previous session’s 1.00 level. When the PCR rises above 0.7 or crosses 1, it means traders are selling more Put options than Call options, indicating a bullish market sentiment. Conversely, if the ratio drops below 0.7 or approaches 0.5, it indicates more selling of Call options than Put options, signaling a bearish sentiment. Simply put, a higher PCR suggests optimism among traders, while a lower PCR indicates pessimism.

Nifty and Bank Nifty Support and resistance level:

Nifty:- Resistance   22,546 , 22,600 and 22680 levels.

             Support      22,370, 22,300 and 22230 levels.

BankNifty: Resistance   47,680, then 47,790 and 48,000.

                   Support     47,400 followed by 47,280 and 47,130.

Index Future levels

Nifty Futures Buy above 22650. The suggested targets for this are 22,800 and 22,900, with a stop loss set at 22,480.

Bank Nifty future Buy above 48,100, the index is expected to see upside levels of 48,300 and 48500, and level 47,700 will act as a stop loss.

Stocks in the news:

RBL Bank: In the latest quarter ending March FY24, the private sector bank recorded deposits of Rs 1,03,454 crore, showing a 22 percent increase from the same period last year and a 12 percent growth from the previous quarter, based on preliminary data. Advances for the quarter reached Rs 85,640 crore, marking a 19 percent rise compared to the previous year and a 5 percent increase from the previous quarter.

Today’s Investment pick: DMART

DMART: BUY 4600 |Target 4800| Target 5000|

Avenue Supermarts Limited (DMart) is a national supermarket chain, with a focus on value retailing. We offer a wide range of products with a focus on the Foods, Non-Foods (FMCG) and General Merchandise & Apparel product categories.

The D-Mart operator recorded standalone revenue at Rs 12,393.46 crore for the quarter ended March FY24, growing 19.9 percent over Rs 10,337.12 crore in year-ago period.

Technical:  Avenue Supermarts Limited had a symmetrical triangle breakout on its daily chart. Indicating positive market sentiment. A crucial level to monitor is 4600, as a beyond this point could signify a continuation of the bullish trend and may be accompanied by increased trading volumes.