Indian markets ended negative on Wednesday, recording their second successive losses dragged by FMCG, pharma and auto stocks. On the hourly chart, the index has slipped below the critical 21-EMA and 50-EMA, indicating a weakening trend in the near term.
Commenting on the day’s action, Rupak De, Senior Technical Analyst at LKP Securities said that Nifty spent another day in consolidation, with the index remaining largely range-bound ahead of the monthly expiry.
“Immediate support is seen at 24,700 and a sustained move below this level could trigger further selling pressure. Significant put writing at 24,700 reinforces the technical setup. On the higher end, notable call writing is observed at 24,800. A decisive move above 24,800 could force call writers to cover their positions at the 24,800 CE, potentially triggering a sharp rally in the market.” De said.
Here are 5 stock recommendations for Wednesday: