Indian markets opened higher on Tuesday with Nifty50 holding above the 18,300 levels.
Analysts advise investors to stay invested with pre-determined targets with strict stop losses. Given the volatility of the markets, traders need to keep counting their profits at regular intervals.
For the larger index, 18,360 will act as a very strong resistance. If this level is breached, we could see 18,440 levels and then 18,500 levels as well, said Rahul Sharma, co-owner of Equity 99.
“On the lower side, 18,230 will act as very strong support. If this level is breached, we could see 18,140 levels and even 18,060 levels,” he added.
For the Bank Index, 38,440 will act as crucial resistance on the breakout, which we could see 38,620 and 38,860 additional levels as well.
On the bottom side, 38040 will act as a strong support. If this level is crossed, we could see 37,820 levels and even 37,600 levels.
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Rahul Sharma, co-owner of Equity 99 selects these 3 stocks for Tuesday’s trade:
DLF: LTP Rs 423 | Target Rs 440-450 | Stop Loss Rs 415
The stock is a long above 425 and looks very strong on the charts. Intraday charts give strong bullish signals. Investors can consider buying now or on dips for a target of Rs 440-450 and a stop loss can be placed below Rs 415.
Welspun Corp: LTP Rs 195 | Objective Rs 220 | Stop Loss Rs 187
A close above 195 will trigger a breakout. On the hourly charts, it gave a Flag and Pole Breakout. Investors can buy for a target of Rs 220 and a stop loss can be placed below 187.
Bajaj Finance: Buy| Target Rs 7852 | Objective Rs 8500 | Stop Loss Rs 7800
Investors can consider buying the stock above Rs 7,860. It has super strong charts, after a little consolidation. The stock is ready to break a 52-week high above 8050, which is the target, and a stop loss can be placed below Rs 7,800.
(Disclaimer: Opinions/suggestions/advice expressed here in this article are investment experts only. Zee Business suggests its readers consult their investment advisors before making any financial decisions.)