F&O stock strategy: How to trade in Exide Industries, NALCO?

economictimes.indiatimes.com:

US Fed and hit fresh lifetime highs led by IT and bank stocks. The momentum is expected to continue in tune with positive Asian markets and on favourable cues from the US markets.
The index has broken out of consolidation, driven by an increase in long positions compared to short trades among participants, Rupak De, LKP Securities, said as he sees the sentiment remaining robust with the index maintaining a position comfortably above crucial moving averages.

This analyst puts support at 21,000, where PUT writers have significant positions and expects potential for Nifty to advance towards 21,400 and beyond on the higher side.

We spoke to analysts on how one should trade stocks that were in focus in the previous trading sessions based on derivative and technical data:

Analyst: Sudeep Shah, Deputy Vice President and Head of Technical & Derivatives Research, SBI Securities told ETMarkets

Exide Industries rebounds strongly from support zone, signalling potential upside

The stock formed the Morning Star candlestick pattern in the month of October and thereafter started marking the sequence of higher tops and higher bottoms. It has surged by over 23% in just 26-trading sessions. However, it has marked high of Rs 299.40 and thereafter witnessed minor throwback.

The throwback was halted in the zone of Rs 287-285 level, which is the confluence of 23.6% Fibonacci retracement level of its prior upward rally and it coincides with 20-day EMA level. The stock has formed a strong base near the support zone and resumed its northward journey. The reversal from the support zone is supported by above- average volume.