Wait and accumulate stocks on every decline: Vikas Jain, Reliance Securities

Where are we?
The Nifty managed to continue its northbound journey for straight sixth week in a row, where after oscillating in 150-point range (i.e. from 9,988 to 10,138 levels), index reported a rise of 0.5 per cent. Though, higher level profit booking kept the market in pressure for the sometimes, buying in index heavy-weights once again uplifted it from the lower levels.

Auto, metal and energy counters have outperformed the benchmark Nifty with a higher margin. However, FMCG and pharma stocks were the highest underperformer. Mid-caps and small-caps have also seen profit booking during the week.

What is in store?
The Nifty has closed above its short-term moving average 20-day EMA, sustenance above that average would help the market continue its up-trend. The key trend reversal level for the Nifty is placed at 9,950; below which, the trend would turn negative. The Bank Nifty is also in the strong uptrend.

The key trend reversal level for the Bank Nifty is placed at 24,600 level, below which the trend would turn negative.

What could investors do?
One should utilise any decline or consolidation for a fresh entry and keep accumulating, as and when such opportunities occur. The index will keep its northbound journey intact for next the couple of weeks.The Nifty and the Bank Nifty will face major hurdles around 10,500 and 25,200 marks, respectively.