Market Overview
- Nifty Bank: Traded within a 500-point range (approx. 0.50% intraday), finding support at suggestive levels.
- PSU Banks: Underperformed compared to private banks.
- Sectors Showing Strength: Buying seen in Media, IT, Metal, and Financial Services.
- Sectors to Watch: Metals, FMCG, Information Technology, and Pharma are likely to outperform.
Key Observations
- Market Trends: Despite high valuations, the overall trend remains bullish. A healthy correction (5-10%) should be viewed as a buying opportunity.
- RSI Levels: Nifty’s RSI is 70 (daily), 73 (weekly), and 79 (monthly). Be prepared to capitalize on any dips.
- Global Markets: US and European markets showed marginal gains, with a bearish outlook for European markets.
- Asian Markets: Positive notes in Gift Nifty, Nikkei 225, Straits Times, and Kospi.
- Commodities: Brent crude and crude oil showed slight increases, while silver and zinc performed well.
Trading Recommendations
Swing Trade
- Scrip Name: IOC
- Trade Type: Buy
- Entry Price Range: 165 – 167
- Targets:
- Target 1: 173
- Target 2: 178
- Target 3: 185
- Time Period: 3 to 60 days
- Stop Loss: 160
Intraday Trade
- Scrip Name: AWL
- Trade Type: Buy
- Entry Price Range: 330/332
- Targets:
- Target 1: 335
- Target 2: 337
- Target 3: 340
- Time Period: 1 day
- Stop Loss: 327
Support and Resistance Levels
Nifty Bank
- Support: 52350, 52050
- Resistance: 52750, 53150
Nifty 50
- Support: 24000, 23930
- Resistance: 24220, 24290
Upcoming IPO
- Allied Blenders and Distilleries: Expected to list positively on 2nd July 2024.
Advice for Traders
- Avoid overbought sectors.
- Focus on stocks with good fundamentals trading at discounted prices for swing and short-term trades.
- Stay in the trend and be ready to capitalize on dips due to the underlying bullish momentum.
This analysis and recommendations are provided by SEBI registered research analyst VLA Ambala. For more insights, follow here.