In the previous session, the market opened on a flat note and a sell off was seen in the overall market, Nifty touched low at 17576.10, In the last hour of trading Nifty managed to recover from intraday lows and closed at 17748. Recovery of 176 Points. But still closed with a loss of 106 points. Overall a very volatile session was seen yesterday. Technically If the Nifty Index sustains below 17620 we may see further sell off in the next few trading sessions is expected. 17580- 17620 would be support for the market breaking which bears may take control.

Nifty on Daily charts, we observed is trading in a perfect channel pattern and yesterday touched channel support level of 17580-17620, Since last 3 days market is forming red candle i.e. closing lower then open we expect nifty to break the support levels of 17600.

Power Finance Corporation Ltd

NSE :PFC   BSE :532810  Sector : Finance

About Company: Power Finance Corporation (Govt. of India undertaking & Schedule-A Navratna CPSE ^[1]) is engaged in the business of extending financial assistance to power sector and is a Systemically Important Non-Deposit taking Non-Banking Financial Company (NBFC) registered with Reserve Bank of India (RBI) as an Infrastructure Finance Company (IFC).

On the weekly time frame chart we observed multi year breakout on PFC, Stock managed to break the resistance of 138 and closed with volumes about it, Now 138 would be strong support for the stock. Simple observation and price action works like magic in the market. Hence we suggest keeping a positive stance on the stock.

We recommend buying stock around the support zone of 138- 140 For the short term targets of 149- 153 in the next few trading sessions. On any weakness in the market, If stock slips below 138 levels with volumes we need to review the technical setup and chart structure.