Charts signal more pain ahead for Nifty; select stocks still offer tactical opportunities: Nagaraj Shetti
Why it matters: Investors face Nifty downside, but tactical stock picks offer opportunities amid high volatility.
- Nagaraj Shetti believes the Nifty's trend is "firmly bearish," with every rise being sold and lower tops and bottoms indicating bear control.
- Shetti forecasts the Nifty could break 22,450 next week and slide towards 22,000 in the coming weeks, citing global pressures, rupee, and crude as key concerns.
- Coal India shows relative strength, with a positive trend and strong support around 430–435, potentially bouncing towards 475–480.
- Ather Energy is in a strong uptrend, recommended for buying around current levels for a target of 850, with a stop loss at 760.
- BDL is identified as weak with a bearish pattern, suggested for selling around current levels for a target of 1070, with a stop loss at 1160.
Nagaraj Shetti of HDFC Securities warns of continued bearish trends for the Nifty, predicting a potential drop to 22,000 amid global pressures and persistent selling. Despite the overall market weakness, he identifies tactical buying opportunities in select stocks like Coal India and Ather Energy, while recommending shorting BDL.
