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Nifty Outlook
8330 remains a significant level to track as 'Spinning Top' formation near the resistance re-confirms the significance of the level. A breach below 8080 would amplify the bearish momentum & push nifty towards its lower extreme placed near 7900; while a breach above 8330 would eject nifty into a new orbit. Until then it could continue to gyrate within the range of 8320-8080 during the week.
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DABUR: BUY
Target : Rs 330
Stop Loss: Rs 306
Dabur saw a breakout from the 'Rounding' & a throwback towards Rs 300. Post that the breakout from the continuation pattern indicates the uptrend to remain intact. Fresh longs could be initiated with a stop below Rs 306 for a trading target upto Rs 335.
SKS MICROFINANCE: BUY
Target : Rs 734
Stop Loss: Rs 680
Breakout from the continuation pattern reaffirms the secular uptrend to remain intact. Momentum could be participated with a stop at Rs 680 for a pattern target upto Rs 734.
AUROBINDO PHARMA: SELL
Target : Rs 680
Stop Loss: Rs 770
'Falling Three' formation on the monthly scale exhibits weakness to persist. Breakdown from the continuation pattern re-confirms the bearish trend. Pullback if any could be utilized to create fresh shorts with a stop at Rs 770 for an initial target upto Rs 680.
MARUTI SUZUKI: SELL
Target : Rs 3950
Stop Loss: Rs 4170
Maruti is now placed at the upper end of the oscillating range. Negative divergence on the RSI indicates exhaustion while the ‘Bearish Engulfing’ on the weekly scale augurs well for fresh weakness. Short positions could be initiated with a stop above Rs 4170 for a trading target up to Rs 3950.
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Sacchitanand Uttekar is an Equity Technical Analyst at Motilal Oswal Securities
