After a flat weekly start Indian benchmark index Nifty May fut outperformed on the last day of weekly session where it galloped to 31 month highs of 6898. The benchmark indices have gained momentum ahead of exit poll results next week. The TV interview of Narendra Modi on Thursday, in which he exuded confidence that the BJP would win with a clear majority and form the strongest and most stable government since Rajiv Gandhi's time this played a key role to pump up the positive sentiment in the market
Nifty may Future is further looking bullish on chart, as mentioned in our previous report that every 20-30 points dip in Nifty is buy. We suggest traders to adopt same strategy again. Currently Nifty is hovering around 6850-6900 levels , if it again comes around 6800 level. Trader should use this dip & add further long position in portfolio for the target of 7000 and 7200.While on lower side it has a strong and immediate support of 6665
Stocks to watch:
BANK OF INDIA NSE cash -Overall trend of the stock is weak and it is trading in short term recovery phase. Presently the stock is consolidating on charts near its resistance level of 247.50. It is trading above its 10 and 50 days moving averages. Further the stock is likely to continue its recovery phase with the crossing of its resistance level. One can initiate the long position in the stock above the level of 247.50 for the target of 265 , for which one has to keep stop loss at 230.
ADVANTA NSE cash- overall trend of the stock is up. Stock is sustaining at its trendline and if it will be able to give breakout of its resistance leve lthen uside movement can be expected from the stock ,one may take position in stock above 172 with strict stop loss of 162 and tgt of 182.currently stock is taking support of its 50 days moving average
By Vivek Gupta, Director Research, CapitalVia Global Research Limited