Best intraday stocks to watch out for on September 26
Finally, the domestic equity market broke the crucial support levels and gave early signs of reversal. The Nifty has broken the crucial support of 17400 and 34 EMA, which acted as strong support in the recent consolidation. Currently, the Nifty is 1.89% below the 20DMA. It is now hovering around the 50DMA support. Closing below the previous week's low and forming a shooting star near the swing high (at the confluence of highs) has almost confirmed the reversal. The index has added another distribution day. The total distribution day count has reached to five. Now the last hope is the low of August 29 of 17166 support. The Nifty also closed below the 23.6 per cent retracement level, which will be first strong sign of a reversal.
As mentioned earlier, a close below 17166 will test the 16980 (38.2%) retracements. The RSI declined below the prior low and near the strong bearish zone. The MACD histogram shows a sharp increase in the bearish momentum. The -DMI is above the +DMI and shows a bear grip on the market. The Relative Strength line further declined to a new low. Considering above set-up, it's time to be watchful and monitor price action around the support of 17166.
The stock closed below the prior minor low support and the previous resistance. It took support at 34EMA and closed below the 20DMA decisively. The 50DMA support is at 2.90%. It also took support at the rising channel demand line. The MACD has given a strong bearish signal. RSI got the confirmation for its negative divergences. The Elder impulse system has formed a strong bearish bar. The KST is about to give a bearish signal. It closed below the Anchored VWAP support. In short, the stock is a crucial support. A move below Rs 765 is negative, and it can test Rs 746. Maintain a stop loss at Rs 777.
The stock closed at crucial support of a prior minor low. It is below the short-term average. The 20DMA entered a downtrend. The stock closed below the moving average ribbon. It declined 1.2% below the 50DMA. Importantly, the stock also declined below the 200DMA. The MACD histogram shows an increased bearish momentum. The RSI is below the prior lows and near the strong bearish zone. The Elder impulse system has formed two strong bearish bars. The KST and TSI indicators are also in the bearish zone. The RRG Relative strength and momentum are below the zero line, and it shows underperformance. In short, the stock is at crucial support. A move below 2340 is negative, and it can test Rs 2266. Maintain a stop loss at Rs 2365.
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