Technical calls from HDFC Securities: Sell Axis Bank, Ambuja Cement

Nifty outlook and top trading ideas by Vinay Rajani - Senior Technical & Derivatives analyst, HDFC Securities.

Nifty Technical View

By plunging more than more than 2 per cent yesterday, Nifty violated the crucial support of 10,875 on closing basis, and closed far below that at 10,797. Nifty has resumed its primary down trend after one sharp pullback from 10,637 to 11,142.  The index could witness further selling from current levels towards the next support of 10,350-10,400. Earlier support of 11,875 would now interchange its role as a Resistance.

Stock recommendation:

SELL AXIS BANK (646)

Target: Rs 620

Stop-loss: Rs 660
 

The stock has broken down below the consolidation range Rs 650-685, which it held for