Nifty 50
Nifty has formed a Doji candlestick pattern on the daily chart, indicating indecisiveness among bulls and bears about the future market trend. After opening flat at 19678, Nifty traded in the range of 19734 to 19601 levels during the session and finally settled at 19674, up 0.20 points. Nifty closed higher for the first time in the last five trading sessions.
Here are the top two stocks to watch out for:
Trent Ltd
The trent ltd stock has broken out of a flat base with massive volume. It formed a strong bullish bar and closed at a new lifetime high. The Bollinger bands began to expand from a tight contraction, indicating an impulsive move on the upside. It is trading above all key moving averages, and the MACD is about to give a fresh bullish signal. The RSI took support at 60 and bounced, and the Elder’s impulse system has formed a strong bullish bar. As the stock is trading in uncharted territory, it has cleared all the resistances. In short, the stock has registered a bullish breakout. A move above Rs. 2155 is positive for the stock, and it has the potential to test a level of Rs. 2200.
ICICI Lombard General Insurance Company Ltd
The ICICI lombard general insurance compant ltd stock closed at a crucial parallel support and formed a sizable bearish candle. It is trading below the 20 DMA and 50 DMA, and the MACD has given a fresh sell signal. The RSI declined into the bearish zone and shifted its range. The Elder’s impulse system has formed a bearish bar, and the KST and TSI indicators are in a bearish setup. It closed at the Ichimoku cloud support and is also at the support of a descending triangle. In short, the stock is ready to register a bearish breakdown. A move below Rs. 1310 is negative for the stock, and the next support level is seen around the level of Rs. 1270.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet, and is subject to changes. Please consult an expert before making related decisions.
