The last trading week was a day short. But we got to see a lot of action in the market. On August 20, Nifty closed at 16,450.50. If we look at the weekly closing of Sensex Nifty, it is known that despite the uncertainty in the markets around the world, the Indian markets did not suffer huge losses. But if we take a closer look at the individual stocks, except IT and FMCG, all the sectors were beaten.
Derivatives also saw heavy beating of Kai counters. Such things are creating confusion in the market. Because some things are taking the market upwards. At the same time, some things are putting pressure on the market. At present, the market is getting support on the defensive sectors like IT and FMCG.
By Sameet Chavan of Angel Broking That is to say, the weekly chart of Nifty indicates that it has made a shooting store candle. This is an indication that if the bottom of the candle breaks on the closing basis, then there may be a slight pause in the market.
In this week, support can be seen for Nifty at the levels of 16,350–16,250–16,150. These levels should be closely monitored. At present, there is no possibility of Nifty knowing below its support zone. But it cannot be said on which side the camel of the global market will sit. If Nifty crosses the level of 16,500–16,600 then only we will see further upside.
Apart from this, Nifty Bank and Nifty Midcap 50 are also trading at make or break level. Since this week is also the monthly expiry. So it will be interesting to see how the market moves. In such a situation, traders would be advised to keep their positions light. Instead of focusing on the index, focus on the selected stocks.
Investment Advice by Sameet Chavan
Indian brick | LTP: Rs 1,730.30 | Buy this stock with a stop loss of Rs 1,675 for a target of Rs 1,845. In 2-3 weeks, this stock can see an increase of 7%.
United Spirits | LTP: Rs 701 | Buy this stock with a stop loss of Rs 682 for a target of Rs 764. In 2-3 weeks, this stock can see an increase of 9% per cent.
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