Weekly market update!

Last week we posted that nifty has a strong resistance around 7980 & strong support around 7780. although nifty didn't break the resistance as per our expectations & moved down. But look at the high & low of the index. High is below 7980 & low is very near to 7780 the levels mentioned. On stock specific DIVISLAB & Bharatforg achived our targets. We exited LICHSGFIN & BHEL.

Now nifty chart is looking weak. There will be some upwards movement after last weeks decline, right now it looks to be on short covering. So sell on the rise should be the strategy unless nifty moves above 7920. On Friday, nifty opened gap down & the gap did not get filled. So gap will act as a resistance. Above that 7920 is a strong resistance. On downside 7700 i a strong support below that nifty can go down to 7590.
On stocks specific we recommend going short in Ashokley around 92 for target of 88 with stop of 93.5. We recommend going short in Bankindia around 125 for a target of 120 with a stop of 127. We recommend going long in Axis bank at current levels for a target of 473 with a stop of 456. We recommend going long in Indusindbk at current levels for a target of 965 with a stop of 933.