Nifty snapped a two-day losing streak on Monday to close higher. However, gains remained limited as selling in consumer and IT stocks offset strong buying interest in financial and pharma shares. The markets witnessed a sharp rebound from lower levels, with the Nifty managing to close above the 25,700 mark.
Commenting on the day’s action, Nilesh Jain, Head – Technical and Derivatives Research Analyst at Centrum Broking said that Nifty encountered resistance near 25,800, which continues to act as a strong hurdle and a decisive breakout above this level could open the doors for a further move towards 25,900–26,000. He places immediate support at 25,600, while the key support from the 21-DMA is placed around 25,540. “The volatility index spiked to 12.50, suggesting rising caution among traders and the potential for increased market volatility in the near term,” Jain said.
Here are 5 stock recommendations for Tuesday: