The market can look up to liquidity at regular intervals therefore a PE of 10600 can be an ideal pick for F&O traders. The traders can hedge their positions with pharmaceuticals stocks like Dr . Reddys Lab. Also, FMCG stocks are lined up for their quarterly results in the upcoming week and we can expect some bounce back.
Nifty is currently consolidated between the strong of 10500 and the 200-DMA of 10900. If these levels are broken which can expect the index to make significant moves in the market. However, looking at the current scenario of citywide lockdown which includes major commerce trading cities like Delhi, Mumbai, and Bangalore the market can face a certain pullback again. If nifty manages to close above the psychological mark of 10800 which can expect the comeback of bulls from there.
The stoch-RSI is showing downtrending nature which can provide some advantage to the bears. The price candles are representing the scenario of consolidation.