November 1, 2024

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Nifty view and stock call by HDFC Securities: Sell SBI, LIC Housing Finance

Adhere to up providing soon after “Island Reversal” sample implies resumption of a downtrend in Nifty

On May well four, Nifty fashioned bearish “Island Reversal” sample on the daily charts. In the following session of May well five, the index witnessed a follow up providing with momentum, which confirmed the bearish reversal. The pullback which was noticed from 7,511 to 9,889 appears to be to have ended and major downtrend has started out. Speedy aid for the Nifty arrives at eight,980, adopted by eight,seven hundred. Resistance has shifted down to 9,450 and can be stored as a stoploss in any limited positions of Nifty.

Inventory recommendation:

Offer SBI (171.four): | Target Rs. 162 | Quit-loss Rs 177

The inventory price tag has registered a new fifty two-week lower with higher volumes. It has also damaged down beneath the consolidation which was there for final 7 months in between 198 and 173. Indicators and Oscillators set up is bullish on limited to medium expression charts. BankNifty Index has been underperforming and most likely to go on with the very same.

Offer LICHSGFIN (256): | Target Rs. 240| Quit-loss Rs 264

The NBFC space has been below stress for the final pair of months and has been underperforming alongside with the banking institutions. The inventory has fashioned bearish triple prime development all around 290 on the daily charts. Meanwhile, the inventory price tag has damaged down beneath the upward sloping craze line aid on the daily charts with balanced volumes.

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Disclaimer: Vinay Rajani is Technological Analyst at HDFC Securities. Views are private.