Stock name: Infy

Pattern: Gap filling theory

Time frame: Daily

Observation:

The stock had made a big gap down on 17^th April and ever since that day, the stock has been forming a continuous higher highs and higher lows pattern in the gap area. When applying the gap theory in technical analysis, the upper end of the gap serves as the initial resistance when the stock retraces to fill the gap. And, this particular gap upper level is 1390 INR. According to technical analysis, if price fills the gap and if sustains the above that, it may show trend continuation on the upside.

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Disclaimer: This analysis is purely for educational purpose and does not contain any recommendation. Please consult your financial advisor before taking any financial decision.

News for the day:

1) Foxconn-Vedanta semiconductor deal ends. Vedanta and Foxconn had signed agreements in September 2022 to invest $19.5 billion to set up semiconductor and display production plants in Gujarat.

2) CarTrade tech shares jump over 16% on agreeing to buy OLX India's Auto Business.

3) The weightage of HDFC Bank (after 13^th July delisting of HDFC) in NIFTY50 will increase to 14.43% from 8.90% currently. At present, RIL controls 10.9% of Nifty which will get reduced to 10.8%. And HDFC bank will have highest weightage in the NIFTY50.