The Nifty 50 remained range-bound during the week ended 22 May, trading within the 23,300–23,850 zone with a nominal gain of 0.32%. According to Jigar S. Patel, Senior Manager of Equity Technical Research at Anand Rathi Share and Stock Brokers, the index continues to consolidate within this broader range, indicating ongoing volatility and indecision. However, the index has managed to hold above the crucial 23,300 support zone, which keeps the broader market structure intact. Patel sees 24,200 as the immediate resistance for the Nifty, followed by stronger hurdles around 24,600 and eventually the psychological 25,000 mark.
Bank Nifty witnessed heightened volatility during the week and successfully filled the important gap support near the 52,800 zone, which also coincides with the 61.8% Fibonacci retracement level. As reported by Anand Rathi, the index has since shown signs of stabilisation and consolidation, indicating the gradual emergence of buying interest from lower zones. The immediate hurdle for the banking index is placed near 54,500, with a decisive breakout above this level potentially triggering a strong up move in banking stocks. Once 54,500 is crossed convincingly, Bank Nifty has the potential to outperform the broader markets and head towards the 56,000–58,000 zone in the coming weeks.
Dixon Technologies is recommended for buying with a previous close of ₹11,722, targeting a ₹13,000 price level with a stop loss at ₹11,000. According to Anand Rathi's analysis, Dixon Tech has witnessed a strong bullish breakout after surpassing its previous swing high on a closing basis, appearing to progress towards the completion of a bullish AB=CD pattern with the projected D point near ₹13,000–₹12,950 zone. Momentum indicators including RSI, MACD, and DMI all indicate strengthening bullish momentum and improving trend structure.
Aarti Industries is recommended for accumulation with a previous close of ₹476.20, targeting a ₹540 price level with a stop loss at ₹435. As reported by Anand Rathi, Aarti Industries has recently witnessed a strong breakout above its major Yearly Camarilla (R 4) and Floor Pivot resistance levels on the monthly chart, successfully retesting the breakout zone which is now expected to act as a strong support area. Momentum indicators including MACD, RSI, and DMI all indicate positive strength and improving bullish momentum.
Ramco Cements is recommended for buying with a previous close of ₹914.55, targeting a ₹990 price level with a stop loss at ₹870. According to Anand Rathi's analysis, Ramco Cements has formed a strong base near the ₹880–₹900 zone, with the support zone well supported by the 78.6% Fibonacci retracement, 61.8% AB=CD Alternate Price Relationship, and the 1.27% external retracement. Momentum indicators are showing signs of improvement with oscillators gradually losing downside steam, suggesting that selling pressure may be fading.
