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Trade Spotlight: How should you trade Karnataka Bank, Torrent Power, JSW Energy, Ajanta Pharma, Supreme Industries, and others on February 6?
Trade Spotlight: How should you trade Karnataka Bank, Torrent Power, JSW Energy, Ajanta Pharma, Supreme Industries, and others on February 6?
About this update from Ifci Limited
The benchmark indices snapped a three-day winning streak, with the Nifty 50 falling over half a percent on February 5. Market breadth turned negative, with about 1,946 shares declining against 964 advancing on the NSE. The market may consolidate further as participants await the outcome of the RBI monetary policy meeting scheduled for February 6. Below are some short-term trading ideas to consider:Om Mehra, Technical Research Analyst at Samco SecuritiesKarnataka Bank | CMP: Rs 199.96Karnataka Bank has recovered sharply from the recent decline and is now attempting to stabilise above the Rs 195–198 zone on the daily chart. The stock has reclaimed its short-term moving average near Rs 198 and is gradually moving higher after forming a higher low during the recent corrective phase. The recovery candle reflects improving acceptance at higher levels.The daily RSI is placed near 60 and has turned higher from lower levels, indicating a revival in momentum. The DMI setup shows the positive directional line above the negative line, while the ADX remains moderate, suggesting that the trend is improving but not yet aggressive. As long as the stock holds above Rs 195, the near-term outlook remains steady.Strategy: BuyTarget: Rs 215Stop-Loss: Rs 192Torrent Power | CMP: Rs 1,417.60Torrent Power has retained bullish momentum and is now trading near the higher end of the recent range on the daily chart. The stock is holding comfortably above the rising Supertrend support near Rs 1,265, which continues to provide a strong base on declines. A cup-and-handle formation is also emerging on the daily chart.The daily RSI is placed near 60, indicating steady momentum. The MACD remains in positive territory, with a gradual improvement in the histogram, suggesting continuation rather than sharp acceleration. Volumes have remained steady during the advance, supporting the ongoing momentum. As long as the stock holds above its support zone at Rs 1,375, the near-term outlook remains positive.Strategy: BuyTarget: Rs 1,500Stop-Loss: Rs 1,360NHPC | CMP: Rs 80NHPC has formed a clear double bottom near the Rs 74–75 zone on the daily chart and is now attempting to move higher from this base. The recent recovery has resulted in a higher high, indicating a shift in the short-term trend after the prior decline. The stock is trading close to the mid-Bollinger Band, suggesting improving momentu...