GEPL technical nifty view for 14th July


Nifty opened negative and struggled to find a clear direction throughout the day. It finally ended the day with a gain of 17 points at 5400. The upward momentum can take Nifty higher to 5425 and beyond that 5460 is a possibility. However we advice profit booking in case such an upmove is in place as the move that started from 4800 till the present level of 5400 appears to be aging as depicted by couple o momentum oscillators on daily as well as weekly charts. Also Nifty is approaching a stiff resistance offered by a multi month “Upsloping Trend Channel”. Thus we recommend profit booking. The level of 5355 may be maintained as a stop loss of Nifty long positions. A move below that would drag it down to 5295 and below that 5265 is a possibility. An important level to watch out for is 5210. A breach of 5210 can induce further selling pressure.

 As for stocks we recommend going long in Hindalco whereas Hero Honda looks weak on the chart.

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