Given favourable seasonality and the strong bullish momentum prevailing in the market, the benchmark Nifty 50 has a good chance of extending its winning streak into the Muhurat trading session, said Sudeep Shah, Head - Technical and Derivatives Research at SBI Securities, in an interview with Moneycontrol.
However, he believes the index is approaching overbought territory, increasing the possibility of near-term consolidation. Therefore, investors would be better off booking partial profits at current levels rather than chasing the ongoing rally, he advised.
Shah recommends buying Axis Bank, Bajaj Finance and TVS Motor Company as his top picks for Muhurat session.
How do you view the upcoming Muhurat trading session, especially given that the bulls have already celebrated Diwali in style, with the Nifty 50 rallying 8.58 percent over the last seven consecutive sessions?
Nifty has ended positive in 8 of the last 10 Muhurat trading sessions, delivering an average gain of 0.31 percent. Given the favourable seasonality and the strong bullish momentum currently prevailing in the market, the benchmark index has a good chance of extending its winning streak into the Muhurat session.