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Sectorally, buying was seen in realty, metals, banks, and industrials while selling was seen in auto, healthcare, FMCG, and oil & gas.
Stocks that were in focus include names like NHPC which was up nearly 3%, DLF which climbed more than 4% and Patanjali Foods which was down more than 4% on Friday.
Here’s what Pravesh Gour, Senior Technical Analyst, Swastika Investmart Ltd. at recommends investors should do with these stocks when the market resumes trading today:
NHPC: Buy
The counter has given a breakout from an inverse head & shoulders formation on the daily chart, but it has given a meaningful correction to retest the previous breakout level of 37 after making a 52-week high.
Now it is starting the next leg of a rally, where 43 is an immediate trend-line resistance level; above this, we are expecting a move towards the 45 level.
On the downside, Rs 39.70 is major support during any correction.DLF: Buy
As the Nifty realty index is bottoming out after a meaningful correction, DLF is looking lucrative as technically, it is bouncing back from around a 38.2% retracement of the previous rally on the weekly chart.
On the higher time frame, there is a breakout of a falling wedge formation, which suggests much more potential upside in this counter.
The momentum indicator RSI is trading above the 50 mark with a positive bias, whereas MACD is witnessing a centerline crossover.
On the upside, 400 will be an immediate hurdle, but 420 looks like an imminent target in the near term. On the downside, the 200-DMA of 361 is a strong support level.
Patanjali Foods: Avoid
It witnessed a breakdown of a head & shoulders formation on the weekly chart with strong volume, where 1050 is the neckline support, which was broken and shifted towards Rs 800 levels.
The overall structure of the counter is distorted as it is trading below all important moving averages.
MACD (Moving average convergence divergence), is reinforcing the downward trend, and the RSI (relative strength index), is also poised negatively.
On the upside, Rs 1050 is an immediate hurdle, while on the downside, Rs 850 will act as a strong demand zone, below which we can expect a move towards the Rs 800 level.
(Disclaimer: Recommendations, suggestions, views, and opinions given by experts are their own. These do not represent the views of t