Market View and Stock Picks: 08 June 2026

The Nifty witnessed a volatile trading week but managed to recover slightly from its weekly low. Price action continues to hover around a crucial support zone, with the 23,150–23,000 region emerging as a key confluence area comprising the gap support and the 61.8% Fibonacci retracement level. 

 From a trend perspective, the Bearish Dow structure remains intact, with the weekly chart continuing to exhibit a lower top–lower bottoms formation. In addition, the index remains below key moving averages, while momentum oscillators continue to hover in bearish territory. The immediate resistance is placed near 23,560. A sustained breakout above this level would improve the technical outlook and reinforce the bullish reversal scenario, potentially paving the way for a move toward 23,800 and higher levels. Conversely, any close below 23,000 could negate the bullish expectation and expose the index to further downside pressure toward 22800 or lower. 

 From an Elliott Wave perspective, minor Wave ii/b has either completed at 23,151 or may extend toward the 23,100–23,000 zone. Minor Wave iii/c of major Wave C is likely to be confirmed above 23,800 or after a final dip toward support. A close below 23,000 would negate the bullish outlook.  

Broader market indices are relatively placed better than the benchmark index Nifty. We expect outperformance of broader market indices to continue. Nifty Next50, Midcap, Smallcap and Microcap250 indices carry higher relative strength, and market dips can be utilized to go long in these indices.  

Stock Picks 

 Buy Viyash Scientific 256| Stop-loss Rs. 240| Target Rs. 285 

Stock price has broken out from bullish cup and handle pattern on the weekly chart. Primary trend of the stock is bullish with higher tops and higher bottoms on the daily and weekly chart. Stock is placed above all medium to long term moving averages. Indicators and oscillators have been showing strength on the short term charts. 

Buy Federal bank 306 | Stop-loss Rs. 295| Target Rs.  325 

Stock is placed above all key moving averages, which indicates uptrend on all time frames. Small private banks have been outperforming the banknifty index and same is expected to continue. Stock has recently surpassed double top resistance placed at 301.  Weekly RSI has been sustaining above 50. Weekly MACD is placed above equilibrium line.