Investors Bullish On Nifty Bank To Lead The Charge; Break Out In Banking Sector? | ET Now

Good afternoon to Nagraj Shetty, who's joining us on the show right now to take us through the setup or the technical aspects of the market. Very good afternoon to you, Nagraj. Thank you so much for joining us in ET Now. And yes, you have markets that are scaling brand new highs every single day, but we are seeing that there are some bouts of profit booking or some sort of a consolidatory phase actually kicking in for the markets. Are you witnessing that on the charts as well? Hi, good afternoon. Sherry. Market has been a continuous uptrend since after the upside breakout of the range moment. The overall chart pattern is looking still positive. Though market is placed at the higher levels still, there is no indication of any reversal pattern conforming at the higher levels. There may be some high volatility at the highs or maybe a smaller Internet connection in between, but overall market remains up. I'm expecting having more devo over the initial resistance of around 24,000. I'm expecting we need to move towards the 24,450 to 24,500 in the near term. That's about Nifty. Then what about Nifty Bank Actually Nagaraj, because you know everyone's betting on Nifty Bank to lead the charge to rally ahead. It's been while that we've seen the private sector banks participate and we are seeing a signs of some sort of a participation. But are you seeing some resistance also kicking in? I'm not seeing any big resources at this point of time. Around 52,953 thousand is going to be a resistance. But eventually we could see this issue upside breakout in banking sector as well. What we have seen a sharp upside momentum after the especially after the election result, general election results and this banking sector has been outperforming the benchmark index. So currently showing our consolidation around 53,000 labels. And eventually this consolidation is going to be a bound opportunity for banking stocks and even private and PSG banking stocks and eventually bank net T code. The more higher the next upside target would be around 54,000 in the near term, 4000 in the near term for the Nifty Bank. But Nagaraj, let's not forget that we are entering the month of July. And this time with the significance of the month of July is even more because we will be having the full real budget coming in for the Union Budget. They all has been waiting for. What's your anticipation when you talk about the sectoral indices? We've seen the PSU index actually see a sharp rally, The banks, the fertilizer stocks actually seeing a sharp uptick on back of that. So are you witnessing some sort of an action on that particular front? Are these the sectors that one should look out at least for the month of July? Yes, I'm expecting a further upside for the Nifty during this budget period. And as well as if you look at the sectors banking, especially private and PSU banking and if you look at the metal stocks, metal stocks, metal sector has declined reasonably and has bounced back from the lower levels. Fertilizers and even other sectors like PSU banking like capital goods are like likely to in the limelight in the near term. All right, so then Nagaraj, what are your top bets then? What are the picks that you are looking out for? Are they also in the similar pact that is the PSU range or are you looking at some different stocks altogether? Yeah, I have two picks for NGL and GNFC. Both are in a NPSS as well. So if you look at the MGLMGL was moving in a gradually over the last few weeks and today has busted up above the residence. Currently making an attempt to move above the important residence of around 1600 labels. So it's upside. The breakout of 16 is going to be a stronger up move for the stock in the near term. I'm expecting this to move up further and one can look to buy around these labels around 1600 which is currently quoting and 1705 is going to be the target that one can place a stop loss around 1515. If you look at the GNFCGNFC are the one the fertilizer stock was in a downward correction recently from the highest of 78770 just came down to six 6670 labels and at the lower levels, it has found the support around 200 EME. It has bounced back from the lower support indicating the formation of higher bottom. The overall chart pattern is looking +1. Can look to buy a GNFC around a 7046705 and wait for the immediate targets of around a 747451 can place a stop loss at 680. OK, now Raj, on that note, we let you go. Thanks so much for making time and speaking with us. If you like this video then like, share and subscribe to 80 now.