Nifty seen on the way to 25,300 as metals, midcap it lead: Axis Securities’ Rajesh Palviya

Indian shares can extend their upward momentum next week, with Nifty on its way to 25,300 and Bank Nifty probably 55,200 attempt, said Rajesh Palviya, Senior VP – Technical and Derivatives Research at Axis Securities.

“Nifty succeeded in giving an outbreak of the falling trend line on the daily graph and to keep comfortable above all in the short term, in the short term progressive averages,” said Palviya. “Looking at the derivative data, the well -based concentration is moved higher, and now a large well writings are seen at 25,000 strikes. So it clearly shows that the base is shifting higher.”

He added that call writers move positions to higher strikes, which suggests more benefits. “So the upward process is now clearly visible to 25,200 to 25,300 in the continuation of this relocation. Until the market is above the 25,000 level, there is a high possibility that we can see a level of 25,200 to 25,300 in the coming week,” he said.

On Bank Nifty, Palviya noted that the index crossed a large obstacle at 54,500. “Also for Bank Nifty we believe that until Bank Nifty is able to stay above 54,500, there is a high possibility that we can try to cross 55,000 and 55,200,” he said.

Palviya believes that IT shares of MidCap offer a better chance in the short term compared to large caps. “If someone wants to play in the IT room, the midcap space would result from here a good amount of return as the structures improve in the short term,” he said. For Infosys, he marked RS 1,550 as an important level that could activate a short coverage and leads to a movement to RS 1,580-1600.

On metal, Palviya sees further profit in Hindustan Zink and National Aluminum. His best trading choices for the week Samvardhana -Mother (Target RS 111, Stop-Loss RS 101) and Bajaj Finnish (Target RS 2,150, Stop-Loss RS 2,055).Also read: Will Sebi end the weekly expiry date? This is what chairman Tuhin Kanta Pandey said after board meeting

“First shares is Samvardhana Motherson, a very strong outbreak on the weekly graph and the way in which the shares have attracted the long structure, we believe that we could see further traction on the buying side here. We project a target, on the downside, 101 should be held as a stop loss.