Pharma, FMCG and PSU banks may further be kept on radar : Epic Research

Mr. Mustafa Nadeem, CEO, Epic Research

Nifty trapped inside a trading range as it continues to hover between 9700 - 9900 while the undertone remains mildly bullish due to positive global cues along with some RBI changes in policy to attract FII/FPI. Nifty started of the week on muted note as the lacklustre cues from global and indecisiveness in the domestic market continues though sustainability of the lower levels of 9700 paved the way for bulls in later part of the week as Nifty recovered almost 120 points and closing the innings above 9850.

Smoothening of the volatility as compared to last few sessions and rebound in Infosys which was flavor of the street for quite sometime also encouraged bulls to enter the at lower levels amid modest consolidation. Though the range for the week was broadly between 150 points while a promising close with Dragon fly Doji on weekly charts may also support cues on positive side.

A Dragonfly doji is usually seen at lower part of trading range, downtrend, and its characterized by a long lower wick and a very small or negligible at upper end. It can be validated by a positive close in coming week first few sessions. OI data has given a muted cues as well with range at 9700 - 9900 at large while any decisive break of this will be a root for upcoming momentum. A resistance is seen at 9900 and beyond that we see hurdle at 10020. Support is seen at 9740 - 9770.

Pharma, FMCG and PSU banks may further be kept as sector to be on radar in coming week.

Source : Equity Bulls

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