Day by day, the Indian stock market is creating a history of fresh highs. On August 18th, Sensex for the first time touches the mark of 56000 in the early morning session. Moreover, concluded in red which was below the level of opening tick. Thus, in the later session, profit booking took place which emerges Sensex ending down by 162.78 points.
Yesterday, the Sensex was lower by 0.29 percent and stood at 55629.49. Furthermore, a clear dip of 45.80 points was visible in Nifty and came at 16568.80.
Sensex and Nifty hit their higher levels
In the first opening hour, both Nifty and Sensex moved to their new high levels of 16701.85 and 56118.57 respectively.
If we converse about the pattern formation, then Nifty has formed a dark cloud cover pattern which evidently is a sign of reversal.
On the Sectoral front, benchmark indices like metal and banks fell nearly by 0.8 percent each. On the contrary, pharma, FMCG, and PSU banks turn out powerful stocks.
On the wider prospect, the mid-cap index rises by 0.26 percent whereas the small-cap index declined by 0.18 percent.
India VIX was down by 3.78 percent and stood at 12.90 from 13.41.
Yesterday, Foreign Institutional Investors sell around Rs.595.32 crore shares whereas DII sell around Rs.729.49 crore shares.
Moreover, if we look into the put-call ratio(PCR) then in the morning it was 1.67 for Nifty. However, by the end of the session, PCR declines and came at 1.29.
Moving towards Bank Nifty, the PCR declines and stood at 0.64 from 0.80. Yesterday, bank Nifty opened at 36222.50 but ended at 35554.50. Consequently, dipped by 0.87 percent or 312.95 points move the level towards 35554.50.
Nifty Future
SGX Nifty is trading around 16350. Down by more than 200 points from Wednesday settlement.
Nifty futures has support 16280—16140—15900.
Traders can go long in Nifty futures around 16280 with stop loss below 16140 for the upside target of 16480.
Our positive view gets negate on a close below 15900 levels only.
Bank Nifty Future
On the other hand, Bank Nifty future has support at 35000—34600 and resistance at 36000.
Take a risk and buy Bank Nifty future around 35000 with stop loss below 34600 on a closing basis for the upside target of 35600—36000.
Trendy Stocks
Sell below 173 with stop loss above 177.
Downside target looks 169—166.
Sell around 4800. Stop-loss above 5000 on a closing basis.
Downside target looks 4500—4200
