Pravesh Gour Senior Technical Analyst at Swastika Investmart, shares their opinion on, ''Hot Stocks | Bet on J Kumar Infraprojects, Prudent Corporate Advisory, Cera Sanitaryware for 12-15% return''.
The Nifty has encountered a notable resistance at the 20-day moving average (20-DMA) subsequent to rebounding from the 19,300 mark. If it fails to surpass this level, there's a possibility of a renewed wave of selling, potentially driving it towards the 18,888 level. Within this decline, the support levels at 19,300 and 19,191 are likely to serve as intermediate barriers.
On the contrary, sustaining its position above the 20-DMA, which is currently at 19,640, could set the stage for a short-covering rally, possibly propelling Nifty towards the range of 19,800 to 20,000.
Switching to Bank Nifty, the index is presently seeking to establish a support base at the 50-DMA. However, a critical hurdle looms in the supply zone of 45,000 to 45,200. A successful breach of this zone might trigger a short-covering uptrend with a potential target zone at 45,800 to 46,000. Conversely, should Bank Nifty dip below 44,500 levels, it could extend its decline further, targeting the 44,000 to 43,700 range.
In the near term, the Reserve Bank of India's policy decision holds significant importance, shaping market sentiment. Additionally, the flow of foreign institutional investments (FIIs) remains a pivotal factor, given their recent trend of selling over the past few days.
The counter is in a classical up move as it has given a breakout of Triangle formation with huge volume. The overall structure of the counter is very lucrative, as it is trading above all its important moving averages.
The momentum indicator RSI (relative strength index) is also positively poised, whereas MACD (moving average convergence divergence) is supporting the current strength.
It has a psychological resistance level of Rs 1,250. If the price manages to break above the Rs 1,250 resistance level with conviction, it suggests increased bullish momentum and the potential for further till Rs 1,350. On the downside, if there is a correction, the major support level is identified at Rs 1,130.
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