Positive cues from global markets on Tuesday failed to cheer the Indian markets as Nifty50 has erased 85 points today after ‘Doji Star’ formed on Tuesday session got activated after index slipped below 11,904 levels. Pressure looming over Indiabulls Housing Finance prices and turning Yes Bank into review of downgrade has put the index on tenterhooks. While all indices are trading parallel to the benchmark index but Nifty Auto has erased the most, currently trading at 8,155.8, 1.02% below from its previous close. On daily scale, the index is trading in a ‘Falling Channel’ which signals for continuation of sideways movement with negative bias. The index is trading below 200 days Exponential Moving Average that indicates the primary trend of the index. The index is expected to continue its bearish momentum and find support near 7,861 levels. RSI is trading at 44.11 levels and showing no signs of divergence and oversold while MACD has given a bearish crossover. Although RSI and MACD are not the only indicators to dictate the future prices, one can make use of other tools like Fibonacci, Andrew Pitchfork, Chart and Harmonic Patterns.
Some stocks of this counter are also witnessing heavy volumes and momentum that are convincing the emerging trend.
- Maruti Suzuki India: India’s biggest four-wheeler manufacturer has erased 1.64% in today’s session. There has been a block deal of 7,290 and 11,789 shares in morning session today and June 11, 2019 respectively. The stock is trading below 50 days Exponential Moving Average.
- Bajaj Auto: India’s leading two-wheeler company is trading at 2942.7, 1.60 % below from its previous close. The stock is trading above 100 days Exponential Moving Average.
- Bharat Forge: The stock is trading at 467.35, 1.58% below from its previous close. There has been a block deal of 110,096 shares on June 04, 2019. The stock is trading near 30 days Exponential Moving Average.