Nifty (CMP: 11142)
Last week witnessed an extreme volatility where Nifty briefly breached 10900 marks on Friday, but salvaged some of its lost ground towards closing and managed to close above 11100! An important observation lies in the fact that the index is now trading below 50 day average & odds of retest of 200 day average at 10750 zone looks imminent. The outlook for next week therefore remains negative as long as it stays below 11350 regions as the previous support is expected to serve as resistance.
(Sell) HDFC Bank (CMP: 1970)
HDFC Bank has recently seen some serious sell off & it has damaged the intermediate uptrend. Last Friday saw a significant volatility in this scrip but it recovered smartly towards closing. Short term resistance exists at 1995 & 2030 regions and any pullback might be a good opportunity to go short in this Banking stock.
Tech Mahindra (CMP: 738)
Although there is an ongoing consolidation phase in this stock, yet this IT major is showing promise in terms of resumption of the longer term uptrend. One may therefore initiate a long position in Tech Mahindra on pull back to 728 with stop loss at 712 & target 763.
Hindusthan Unilever (CMP: 1621)
We identified this stock several times in the past in this column for its primary uptrend & it is currently pulling back. However, given the oversold nature at present, we recommend taking a long position in this major FNCG stock. One may therefore buy it at CMP with stop loss at 1590 on closing basis & target 510.
JSW Steel (CMP: 408)
Large-cap Metal sector is still looking resilient as compared to the broader market & JSW Steel is the most outperforming scrip in this sector, which is still outperforming. We recommend buying at CMP with stoploss at 395 on closing basis & target 440.