Market tips: Nifty is trading above its 21 and 50 Days Moving Averages with negative crossover.The S-P BSE Sensex and NSE Nifty 50 Indexes extended yesterday's declines and were trading with a negative bias weighed down by selling pressure in HDFC, Bajaj Finance, Infosys, State Bank of India, Larsen - Toubro and ICICI Bank.
The Sensex declined as much as 281 points and the NSE Nifty 50 Index touched intraday low of 11,503, moving closer to important psychological level of 11,500.
Selling pressure in today's session was broad-based as all the 11 sector gauges compiled by National Stock Exchange were trading lower led by the Nifty Auto Index's 1.8 per cent decline.
Mid- and small-cap shares were also witnessing selling pressure as Nifty Midcap 100 and Nifty Smallcap 100 Indexes fell 1 per cent each.Nifty opened on a positive note at 11,642.10 which was also an intraday high but failed to hold that level and remained highly volatile throughout the session on Thursday.
The index closed 90.60 points or 0.78 per cent lower at 11,596.90 on Thursday.
On a daily chart, the Nifty has formed big bearish candle with above average volume activity which points to negativity in Nifty, Choice Broking said in a research report.Moreover, Nifty is trading above its 21 and 50 Days Moving Averages with negative crossover which point to negativity in the index, Choice Broking added.Sell Sun Pharma shareChoice Broking recommends selling Sun Pharma shares in the range of Rs 429 and up to Rs 432 for downside target of Rs 412 with stop loss at Rs 438.
On a daily scale, the stock is facing resistance on its falling trend line which indicate downside movement in the stock.
On an hourly scale, Momentum indicator RSI reading is at 53.65 level with a negative crossover which points out for a negative breath in the counter, Choice Broking's reserach team headed by Sumeet Bagadia wrote in a research report.Sell Cholamandalam Investment and Finance July FuturesChoice Broking has recommended selling Cholamandalam Investment and Finance company's July future contracts in the range of Rs 267-270 with stop loss at Rs 275 for target of Rs 251.
On a daily chart, the stock has given a breakout from its upward rising trend line which indicates a southward movement in the stock, Choice Broking said in a report.Buy Canfin HomesThe Mumbai-based brokerage firm has recommended buy on Canfin Homes for target price of Rs 410 with stop loss at Rs 378.
On a weekly chart, the stock has started to trade above its 100 Weekly Exponential Moving Average which shows an upside rally in the counter, Choice Broking said.Sell Reliance IndustriesSumeet Bagadia, executive director at Choice Broking has recommended sell on Reliance Industries with stop loss at Rs 1,270 for target of Rs 1,240 and if Rs 1,240 breaks it can test Rs 1,200 levels as well.Click herefor more on the stock picks, target prices and research reports shared by brokerages.Click herefor latest on market movement and related information.To read more onSensex, Nifty, currencies, commodities and corporate news,click here.Disclaimer: Investors are advised to make their own assessment before acting on the information.Get Breaking news, live coverage, and Latest News from India and around the world on TheIndianSubcontinent.com.
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