Nifty closed at 16630 level for the fourth consecutive session. In the last four sessions, Nifty has climbed more than 1000 points from 15671 to 16757.
The short term trend has intensified with Nifty closing above the 5 and 11 day EMAs. Upside acceleration is visible at 16800 level.
Hence, traders are advised to go long with a target of 16800 level. Resistance will be found around 17050 level. Long should be done with a stop loss of 16450 level.This week Nifty Small Cap Index outperformed the benchmark index with a gain of 4%.
The Nifty Smallcap Index has broken out in the Daily Chart. The number of advances has declined for four consecutive days, indicating strength. We expect smallcap stocks to continue to outperform in the coming weeks.
Here are suggestions for the next 2-3 weeks:
HDFC Securities has given a buy advice to IMFA this week. It can be taken with a target of Rs 460. Its stop loss is Rs 380. It can give 12 percent return. The stock price has broken above the highs of 29 December 2021 and 08 March 2022.
The short term trend of the stock is positive as it is trading above its 5, 20 and 50 day EMAs. The RSI (Relative Strength Index) and MFI (Money Flow Index) oscillators are placed above 60, indicating strength in the current uptrend.
Plus DI is trading above Minus DI while ADX (Average Directional Index) line is above 25, indicating momentum in the current uptrend.
BUY MAHARASHTRA SEAMLESS (542)
Apart from this, HDFC Securities has given buy recommendation on MAHARASHTRA SEAMLESS. For this, you can walk with a target of Rs 600. The stop loss in this is Rs 515. While the return can come up to 10 percent. The stock price has broken above the highs of 03 Feb 2022 and 03 Mar 2022.
The RSI (Relative Strength Index) and MFI (Money Flow Index) oscillators have seen a trendline breakout, indicating a strong possibility of a sharp price move in the coming days. Plus DI is trading above Minus DI while ADX line (Average Directional Index) has started moving upwards, the stock price is likely to move higher in the coming days.
