Prashanth Tapse, Senior VP (Research), Mehta Equities
Nifty appears bullish ahead of the widely expected 25-basis point Fed rate cut on 17 September, with the street already positioning for the move. The benchmark index looks set to extend its constructive rally into Diwali and the New Year, supported by a series of Fed cuts.
Technically, strength will be confirmed only above 25,670 (high of 30 June), with key support at the 21-DMA of 24,853.
The bias remains risk-on as long as Nifty holds above 24,853.
Preferred trades: Nifty (25,239) buy at 25,150–25,200, stop 24,721, targets 25,255/25,500 and 25,750–26,250; Bank Nifty (55,148) buy at CMP, stop 53,301, targets 55,600/56,100 and 56,500–57,000.
Bullish charts include HBL Engineering, JSW Energy, and Prestige Estate. Top pick: HBL Engineering (CMP 909), buy at 890–900, stop 833, targets 923/953 and 1,150.