Raja Venkatraman recommends three stocks for 4 August | Stock Market News
Trends continue to signal strong intent to move higher, although higher levels are seeing limited buying interest and remain somewhat uncertain. However, with macroeconomic factors improving, the broader uptrend is expected to gather pace.
The NSE closed on a firm note on 3 August , supported by favourable global cues and sectoral strength. Brent crude prices eased to around $83.5 per barrel, offering relief to India’s import-heavy economy.
Investor sentiment was further boosted as geopolitical tensions showed signs of easing, with renewed U.S.-Iran talks raising hopes of stability. On the domestic front, steady monsoon progress and foreign institutional investors turning buyers added to the positive momentum.
JYOTICNC: Buy above ₹860, stop ₹820 target ₹940 (Multiday)
TBOTEK:Buy above ₹1620, stop ₹1530 target ₹1770 (Multiday)
CHENNPETRO: Buy above ₹1330, stop ₹1280 target ₹1470 (Multiday)
Asian markets also traded higher, providing a supportive backdrop. Within the Nifty50, InterGlobe Aviation, TCS, Infosys, Shriram Finance, and Bajaj Finserv led the gainers, while Sun Pharma, Apollo Hospitals, Cipla, ONGC, and Bharti Airtel slipped.
Sectorally, IT stocks outperformed with gains of over 2%, while only Media and Pharma indices ended lower. Broader markets mirrored the strength, with midcaps rising 0.7% and smallcaps advancing 1.2%, reflecting broad-based participation.
Despite positive cues emanating from newsflow both domestic and geopolitical ensured that the trends have revived. The markets sustained at higher levels and the trends are showing a firm resolve to move higher. Finally, after repeated attempts the levels that we have been mentioning around 24,500 has been surpassed quite strongly. In comparison the strong start to week has now inspired the bullish momentum yet again. As a splendid recovery is unfolding to ignite some bullish bias. With the trends showing some positive traction yet again we should be looking at selecting stocks that are resuming the existing trends. As current scenario indicates a more slow and sedate moves that may continue in the next few days, we will continue to expect some global cues to take the initiative forward.
As trends are showing limitation of sustaining the trends and moving higher, we need to step back and decide on the next course of action. The option data suggests that resistances in Nifty have now moved to 24,500 where there is a steady Call Shorting that continues to curb any bullish tendency. Immediate supports continue to remain at 24500 forcing the range to travel between 24,500 to 24,900 this week. As the Put Call Ratio (PCR) has moved above 1 in Nifty and reached 1 in Bank Nifty we are witnessing some steady bullish enthusiasm once again. could also be reaching oversold levels. Since Bank Nifty has been sedate attempting to hold cleared the 57000 mark there seems to be rather slow movement n it could take the lead to take the market higher.
We had mentioned that “ ….the Open Interest data clearly indicating that there now hurdles have shifted to higher levels at 24,900 “ . These levels could prove to be a hurdle and the gap region around 25,100 could act as a hindrance for the reaction that may emerge in the coming sessions. With the market remaining a buy on dip market we can look at some support zone to buy into that may emerge in the coming sessions. Now, we can observe that Nifty would look at 24,400-24,500 which has now turned into supports for a pullback to buy into.
Raja Venkatraman is co-founder, NeoTrader. His Sebi-registered research analyst registration no. is INH000016223.
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Raja Venkatraman is the co-founder of NeoTrader, where he heads the training division. He conducts both offline and live market workshops, seminars, and webinars. He has been working under the guidance of Dr C K Narayan, his mentor and founder of Growth Avenues, for more than 20 years. He is an active trader in multiple asset classes, and actively shares his views on YouTube, blogs at NeoTrader, and on reputed news channels and websites. His Sebi-registered research analyst registration no. is INH000016223.
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