June 07, 2024 / 09:09 AM IST
Sensex Today | Banking stocks in focus ahead of RBI policy: Aditya Gaggar, Director of Progressive Shares
After swinging on both sides, Nifty50 ended the weekly expiry trade higher at 22,821. Indecisiveness was seen between the bulls and bears as Nifty50 formed a Spinning Top candlestick pattern. The level of 22,485 will serve as a support point while on the higher side, the immediate hurdle is placed at 23,080-23,130.
Banking stocks are likely to remain focused in today’s trade due to RBI’s monetary policy. For the day, the support is placed at 48,820 while the level of 49,700 will act as resistance.
In the Auto sector, battery stocks (Amara Raja and Exide Industries) are strong as they are in their primary uptrend and we have technical coverage on Amara Raja Batteries. As far as Auto manufacturing stocks are concerned, we are overweight on Escorts and Hero Motocorp.
In the form of profit booking, a round of correction was seen in the FMCG segment which was mentioned yesterday and we believe it will continue further.
A strong reversal was seen in the IT sector and today’s close will confirm a trend reversal.
We expect stock-specific buying in the Pharma space while positive momentum in the Realty segment is likely to extend further. Ahead of the monsoon season, nibbling was seen in the fertilizer space and Dhanuka Agritech has given a breakout from a Bullish Flag and Pole formation.
Read More: Nifty above 23,050, Sensex up over 850 pts; IT index surges 3%