The Nifty saw a little rise of 0.03% at 22,552.50 at the close of the previous session. The index finished in positive territory for three straight sessions after rising from lower levels. The Nifty has increased by 1.93% in the last week, indicating a positive tone. On the other hand, Nifty Bank had a 0.27% drop as the session ended at 48,497.50. The index did, however, manage to gain 0.32% on a weekly basis, suggesting a period of stabilisation within a wider range of 47,840 to 48,840.

Nifty Outlook Today

“The Nifty index has demonstrated its ability to maintain bullish momentum, with a strong foundation at lower levels. For the past four sessions, the index has consistently closed above its previous day’s low and maintained its breakout level of 22,500, hinting at a possible extension of the current trend. The 22,700-22,750 zone emerges as a critical supply area, with the 20 DEMA and aggressive call writing presenting a significant hurdle. The formation of a sustainable base at lower levels and the buildup of put positions indicate a strengthening of the support zone. The 22,200 level remains a crucial support for bulls, offering a strong platform for potential pullbacks. However, a decisive move beyond 22,700 is essential to sustain the rally, as persistent call writing and technical challenges could act as obstacles. Given the encouraging turnaround and enhanced market sentiment, a ‘Buy on Dips’ strategy seems prudent. As long as the index remains above 22,200, buying interest is likely to emerge on declines, presenting strategic opportunities for bulls,” commented Dhupesh Dhameja, Derivatives Analyst, SAMCO Securities.

Bank Nifty Outlook

“The Nifty Bank index continues to exhibit resilience, maintaining its cautiously bullish-to-sideways trajectory and hinting at a possible market turnaround. The index has robustly defended its major support levels, as any minor dips quickly attracting buying interest-an encouraging sign for a potential trend shift. The 48,900-49,000 zone remains a critical supply area. With the Relative Strength Index (RSI) hovering near 40, momentum seems muted and downside limited. The rebound from technical reversal points aligns well with this emerging bullish scenario. The index’s prospects for further gains hinge on call writers’ willingness to shift to higher strikes and the steadfastness of key support zones. The 47,800 mark is a vital support area for bulls, offering a solid base for any potential pullback. However, without a decisive move above 49,000, any upward rally may face headwinds from persistent call writing and technical challenges. Considering the favourable setup and improving market sentiment, a ‘Buy on Dips’ strategy remains prudent. The immediate resistance is pegged at 49,000, while strong support lies at 47,800. As long as the index trades above 47,800, buying interest at lower levels is expected, providing strategic opportunities for bullish traders,” as per Dhupesh Dhameja.

Stocks To Buy Today

Sumeet Bagadia, executive director of Choice Broking, recommended purchasing two stocks on Monday, March 10 following the 20 DMA, which is presently around 22,750, acts as a critical resistance level for the Nifty.

Hindalco

Buy HINDALCO in Cash @691.35 SL @ 667.15 TGT @ 740

HINDALCO is currently trading at 691.35, maintaining a strong uptrend. The stock has formed a higher high and higher low pattern, signaling bullish momentum. The recent price surge has been accompanied by strong volume, further confirming buying interest. Additionally, the stock has broken out after forming a rounding bottom pattern, which is a bullish continuation signal. The exponential moving averages (EMA) for 20, 50, 100, and 200 days are in a bullish alignment, with shorter-term EMAs positioned above longer-term EMAs, reinforcing the positive trend. The stock has also successfully retested and bounced from key moving averages, providing further confirmation of strength. If the stock sustains this uptrend, it has the potential to reach a short-term target of 740.

On the downside, immediate support is located at 679. The Relative Strength Index (RSI) is currently at 60.08 and trending upward, reflecting growing buying momentum. To manage risk effectively, a stop-loss at 740 is suggested to guard against any unexpected market reversals.

In conclusion, based on the technical analysis and current market conditions, HINDALCO presents a promising buying opportunity for those aiming for a 740 target, provided that appropriate risk management strategies are in place.

Reliance Industries

Buy RELIANCE in Cash @1249.80 SL @ 1206 TGT @ 1337

Reliance Industries, currently trading at ₹1,249.80, witnessed a sharp 3.32% bullish rally. The stock has broken its weekly declining trendline and formed a strong bullish candle, indicating significant buying interest. The surge in volume further reinforces the breakout’s credibility.From a technical perspective, Reliance is trading above the 200-EMA on the weekly chart, reflecting a bullish market structure. The RSI stands at 57.29 and is trending upward, signaling strong momentum, while the Stochastic RSI has formed a positive crossover, confirming buying strength. A decisive breakout above ₹1,260 could lead to further upside, with the next major resistance levels at ₹1,271 and ₹1,281. On the downside, immediate support is seen at ₹1,228.

Traders may consider entering at the current price of ₹1,249.80, with a target of ₹1,337 and a stop-loss at ₹1,206 to manage risk effectively. While the technical setup appears promising, traders should remain cautious of potential short-term volatility and adhere to disciplined risk management strategies for optimal trade execution.

Disclaimer

The recommendations made above are by market analysts and are not advised by either the author, nor Greynium Information Technologies. The author, nor the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.