Hot Stocks: Here’s why ICICI Prudential, IGL could rally 10-12% in 3-4 weeks

The Nifty50 and Bank Nifty tested the higher band of resistance levels at 11,800 and 25,100 respectively and witnessed a sharp profit with multiple news flow like geopolitical concerns between India-China added to the negative sentiments and new rules of margin implication with respect to the trading segment.

The Nifty50 has managed to hold on to 20-Days average support line and retraced 50 percent of the entire fall to close above 11500 levels over the past two days.

The breadth of the markets has not seen any major recovery and a breakdown of 11,350 levels on the downside could push further lower to 11,050 being the 50-Day average.

Bank Nifty is being trended in the range of 23300-23900 levels and awaiting the decisions of the Supreme Court with respect to the interest moratorium for either side breakout.

The trend continues to remain positive till 23,100 levels is not breached on the downside as the resistance of the previous months now would act as strong support from current levels.