Technical calls from HDFC Securities: Buy SAIL, Grasim Industries

Nifty outlook and top trading ideas by Vinay Rajani - Technical Analyst, HDFC Securities.

Uptrend intact; remain bullish with 11,450 stop loss in Nifty

The target, for the Nifty in the current bull run, could be as high as 12,430, which is 138.2 per cent Fibonacci retracement of the entire swing seen from 11,760 (Aug 2018 High) to 10,004 (Oct 2018 Bottom). However, this bull run could witness corrections on regular intervals, subject to the overbought conditions. We believe that our markets are still not overbought, as weekly relative strength index (RSI) for Nifty is still at a fair distance from the overbought zone.

Markets are not overbought, they are in continuation of a bullish trend.