Nifty resistance at 18,300; these two stocks look attractive for short term

The Bank Nifty Bulls came back strong and managed to hold the support of 43,500. This indicates that the bulls are still in control and that the index is likely to continue its uptrend. The immediate resistance is at 44,000. If the index is able to break above this level, it could see a sharp move towards the 44,500 level. The momentum indicator RSI took support at the 60 levels. This bullish sign indicates that the momentum is still intact on the upside.

The Nifty Financial Services index opened on a positive note above the previous day’s close. However, the initial positive sentiment shifted as profit booking in ICICI Bank and HDFC Bank stocks reversed gains. However, in the second half of the day, positive moves in HDFC BANK, AXIS BANK, and BAJAJ FINSV influenced the market, leading to a change in the market’s direction. FIN NIFTY managed to close above the day’s high with good volume, indicating positive strength and resilience in the market. The key resistance levels for the index are located at the previous swing high of 19,500-19,600. On the downside, major support levels for FIN NIFTY are at 19,340/19,260.

Buy DLF at ₹472; Target: ₹500-515; Stop Loss: ₹454

DLF is a stock that has recently experienced a breakout on the weekly chart, accompanied by significant trading volumes. It is currently in a strong uptrend, with evidence of buying activity at lower price levels. The positive crossover of the momentum indicator, RSI, further confirms a buy signal. The stock has support at 454, and there is potential for an upside target of 500 to 515.

Buy Coforge at ₹4,278; Target: ₹4,460-4,620; Stop Loss: ₹4,120

The stock is holding above the 200-day moving average (DMA) on the daily chart, which indicates a positive trend. Furthermore, there is a higher high and higher low pattern forming on the daily chart, suggesting upward momentum. On the weekly chart, there was a strong breakout with a close above the resistance level, accompanied by good volume. This breakout signifies a potential bullish move in the stock. For traders considering a buy entry, it is advisable to enter near the range of 4230-4240. The expected target for the trade is set at 4,440-4,620, indicating upside potential. One can maintain a stop loss at 4120 for this trade.

The author, Rupak De is Senior Technical Analyst at LKP Securities

Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before taking any investment decisions.