Hot Stocks | BEL, Bharat Forge, Bandhan Bank top short-term bets

Nifty faced stiff resistance around 11,800 and traded lower throughout last week and closed near crucial support of 11,300.

Monthly and weekly Heikin-Aashi candles are having bullish formations which imply while a correction is in progress, the bullish trend is still intact.

India VIX traded higher as a sharp fall in the index was seen at the start of the previous week. However, break out of the volatility index will come on a decisive close only above 23 marks.

At the same time, the possibility of cooling off or subdued volatility in the coming session cannot be ruled out, once major events related to the banking sectors are concluded.

Although the benchmark index has managed to close below 20 DMA, all crucial mid-term (50 DMA) and long-term (200 DMA) moving averages are rising and trading higher which indicates bullish bias is still an integral part of the current movement.

Crucial support lies near the line of parity standing near 11,300 marks. Moreover, Flag pattern breakout on the weekly timeframe is valid until it is trading above the crucial support of 11,111.