Market Recap

In Friday’s trading session, the market celebrated a significant milestone as the Nifty index surged to a new peak, reaching 24,593. This breakthrough marked a decisive move above the critical resistance level of 24,500, highlighting strong bullish sentiment and investor confidence.

Key Market Trends

TCS Quarterly Results: TCS reported strong quarterly results, significantly lifting market sentiment and driving up trading volumes.

Top Gainers: Leading the pack were TCS, Wipro, LTIM, Infosys, and HCL, all posting intraday gains ranging from 3% to 6.93%.

Sector Performance: The IT and media sectors saw substantial gains, contrasting with a notable decline in the realty sector.

India VIX: Reflecting mixed signals, the volatility index (India VIX) decreased by over 2%, indicating varied market conditions throughout the day.

Market Sentiment

After reaching a high of 24,593, Nifty faced selling pressure but rebounded to close at 24,502, indicating profit booking. Despite this, the daily chart for Nifty remains optimistic. It's important to note that Nifty's RSI currently stands at 72, signalling it is in the overbought zone. While the overall sentiment for Nifty remains bullish, sustained RSI levels above 70 may persist for a period. However, a decline below 70 could indicate further potential downside.

Key Levels for Nifty and Bank Nifty

Nifty:

• Support: 24,410 and 24,326
• Resistance: 25,610 and 24,678

Bank Nifty:

• Support: 52,150 and 51,903
• Resistance: 52,655, and 53,000

Top Stock Picks

1. Stock Pick 1: [SELL Aurobindo Pharma]

• Sell: Below 1320
• Target: 1264, 1256
• Stop Loss (SL): 1348

• Rationale: Aurobindo Pharma's daily chart reveals a potential reversal pattern characterized by a red candle closing below the upper Bollinger Band, followed by a green candle. This pattern, often identified as a bearish reversal signal, suggests a shift in momentum. Additionally, the RSI has declined from 70 to its current level of 67, indicating weakening bullish strength.

• The MACD histogram bars are also showing signs of fading upward momentum.
• Investors should consider these technical indicators as they suggest a possible downturn in Aurobindo Pharma's stock price, potentially prompting cautious trading decisions

Note- Analysis and recommendations are provided by SEBI registered research analyst Ashish Singh.

Follow Ashish Singh SEBI RA here on telegrams – https://t.me/genitraders

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