Best intraday stocks to watch out for on July 01
After two days of decline, the Nifty has formed a higher high and higher low candle. It formed a shooting star like candlestick pattern, indicating a trend's exhaustion.
Though it made a higher high, it failed to close above the 38.6% retracement level of the prior downside move. For the last 18 trading sessions, the 21EMA has been acting as a strong resistance. As mentioned earlier, there are resistances at 15988, and 16178 level. Unless the index clears these resistances, we can assume that the current upside move is only a counter-trend. The RSI is below 50 and declined for the third straight day. It failed to clear the slopping line resistance line. On a 75-minute chart, the index has broken the upward channel support with a big bearish candle. As it is within the moving average ribbon, we can assume that the index is in a neutral zone. In any case, it declines below 15725, is negative and will resume the downtrend.
The stock has formed a descending triangle and closed at crucial support. The 20DMA is acting as a strong resistance while the MACD line is below the zero line and does not show any momentum. The RSI is in a squeeze and at support. The Elder impulse system has formed a strong bearish bar. The TSI has given a sell signal. It is also trading below the Anchored VWAP. It is below the TEMA. In short, the stock has formed a bearish pattern. A move below Rs 1735 is negative, and it can test Rs 1665. Maintain a stop loss at Rs 1755.
The stock has formed an outside bar. It closed below the previous bar. The 8EMA acted as resistance. Five days of counter-trend has ended with Thursdays decline. The volume is higher than the recent counter-upward move. The -DMI is still above the +DMI. It is trading 6.37% below the 20DMA. The KST has been in bearish mode. It is also below the Anchored VWAP. In short, the stock has resumed the downtrend. A move below Rs 864 is negative, and it can test Rs 820. Maintain a stop loss at Rs 877.
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