Flat Opening Will Expect Amid Supportive Cues From Global Indices...

EQUITY BULLETIN FOR 12 AUGUST 2024

The market gained 1% after a gap-up opening on August 9 but couldn't maintain its position above the short-term moving averages (10 and 21-day EMA), which align with the 24,400 level. The Nifty 50 edged closer to the 24,400 zone amid ongoing consolidation.

The Nifty Put-Call ratio (PCR), indicating market sentiment, increased slightly to 1.09 from 1.04 in the previous session. Volatility dropped significantly, offering more confidence to the bulls. If this decline in volatility continues, it could further strengthen the bullish trend. The India VIX, the fear index, decreased by 7.63% to 15.34, down from 16.6 levels, though it remained up 7.09% for the week.

Nifty Future Overview

Nifty Futures performed well and closed with a solid gain in the last trading session. Now Nifty is moving around the crucial resistance zone, if it breaks the resistance then we will expect a sharp upside move in the upcoming trading sessions.

Now Nifty has major support around 24300 and upside resistance around 24450. Break and sustain above 24450 could propel Nifty towards levels of 24550-24600.

Conversely, a downturn below 24300 may trigger a decline to 24200 levels. Buy on dips around support will be a fruitful strategy for the traders.

Trading Strategy for Nifty Futures 

Traders are advised to Buy Nifty Futures above 24450, with a stop loss set below 24350 for potential targets up to 24550—24620 levels.

Bank Nifty Overview    

After a solid opening Bank Nifty faced a hurdle around 50800 level and closed below the same. Now Bank Nifty Futures has a near support around 50400 and resistance at 50800, sustained movement beyond 50800 could lead Bank Nifty towards 51000-51200 levels.

Conversely, a breach below 50400 may drive it down to 50200-50000 levels. Any sharp decline around the support level will be the best entry for the traders.

Trading Strategy

Buy Bank Nifty Future around 50400 with a stop loss below 50100 for the upside movement till 50700—51000 levels in an intraday trading session.

In conclusion, traders are advised to remain vigilant amidst market fluctuations and capitalize on strategic entry and exit points to optimize their trading endeavors.

Stock Pick of the Day

BHEL (12/08/2024)

Buy BHEL Futures above 306 for the upside move till 312 and then to 316 levels in the coming days. Stop loss below 300.           

Stay tuned for further insights and updates from Millennial Investor Services - Your Trusted Stock Market Advisory Partner.