Nifty closed lower on Monday, marking their second consecutive decline. Except for IT, selling pressure was broad-based, with realty, metal and chemical stocks seeing the sharpest losses. The index has closed below its 50 EMA on the hourly chart.
Commenting on the day’s action, Vatsal Bhuva, Technical Analyst at LKP Securities the index has slipped under the strong 26,000 support near its 10-day EMA, forming a bearish candlestick and signaling short-term weakness. “A further retracement is likely if the index opens or closes below the 10-day EMA at 25950, which could push it toward the 20-day EMA placed at 25850 levels. Support for the index stands at 25850, and a cautious stance is advisable if it breaks below this level, while resistance remains at 26100,” Bhuva said.
Here are 5 stock recommendations for Tuesday:
