The Nifty index ended a two-session rally, closing lower due to a stalemate in Iran-US negotiations, high energy prices, and a weakening rupee. Senior Technical Analyst Rupak De from LKP Securities noted the index is below its 21-hour EMA, confirming short-term bearish momentum, with the RSI in a bearish crossover. He recommends a “sell-on-rise” strategy, citing immediate resistance at 23,500 and potential further weakness if support at 22,800 breaks.
Two stock recommendations are highlighted:
- ACME Solar: Analysts at Bonanza Portfolio see a bullish breakout above the Rs 255-260 consolidation zone, supported by rising volumes and RSI above 60. The breakout zone is immediate support. Buy around Rs 265-270 with a stop-loss at Rs 245. Upside targets are Rs 290 and Rs 310, offering ~15% potential.
- Dalmia Bharat: This stock also shows a strong bullish breakout above its key resistance near Rs 330, with surging volumes and improving indicators, suggesting a trend reversal. Support is at the breakout zone (Rs 325-330). A buy range is Rs 340-345, stop-loss at Rs 310, with targets of Rs 380 and Rs 400, implying ~16% upside.
Both recommendations are from Kunal Kamble, Sr. Technical Research Analyst at Bonanza Portfolio. The analysis is based on technical breakouts, momentum, and volume confirmation. (Disclaimer: Views are those of the experts and not of The Economic Times.)