The Nifty ended its two-session rally amid sharp cuts as a stalemate in Iran-US negotiations dented market mood. According to The Economic Times, elevated energy prices and a plunging rupee aggravated troubles for domestic investors. Rupak De, Senior Technical Analyst at LKP Securities, noted that the index is trading below the 21-hour EMA, indicating sustained short-term bearish momentum. The RSI has entered a bearish crossover, reinforcing the negative bias. As reported by The Economic Times, given the prevailing market uncertainties, a sell-on-rise approach may remain suitable in the near term. Technically, any rebound towards 23,500 could face selling pressure, as this level is likely to act as an immediate resistance. On the downside, a break below 22,800 may lead to further weakness in the market, according to De's analysis.
ACME Solar is recommended as a bullish breakout trade with significant upside potential. According to Kunal Kamble, Sr. Technical Research Analyst at Bonanza Portfolio, the stock has given a breakout above its recent consolidation zone near ₹255-₹260, supported by rising volumes and improving momentum indicators. The stock is trading above key moving averages, indicating strength in trend continuation. Traders can consider buying around ₹265-₹270 with a stop-loss at ₹245, while the stock has potential to move towards ₹290-₹310 in the near term if momentum sustains.
Dalmia Bharat Sugar and Industries Limited presents another compelling bullish breakout opportunity. As reported by Kunal Kamble, Sr. Technical Research Analyst at Bonanza Portfolio, the stock has given a strong breakout above its key resistance zone near ₹330, supported by a sharp rise in volumes and positive momentum indicators. The price is now trading above key moving averages, indicating a potential trend reversal after a prolonged decline. Traders can consider buying around ₹340-₹345 with a stop-loss at ₹310, while the stock may move towards ₹380-₹400 in the near term if momentum sustains.
Both stocks show strong technical indicators supporting their bullish outlook. According to the technical analysis reported by The Economic Times, both stocks have RSI sustaining above 60, indicating positive momentum. The breakout zones are likely to act as immediate support on dips, providing traders with clear risk management levels. On the downside, any break below 22,800 for the Nifty may lead to further weakness, while a rebound towards 23,500 could face selling pressure as this level is likely to act as immediate resistance. The technical setup suggests these stocks offer attractive entry points for traders seeking short-term gains in the current market environment.
