Stock picks of the day: Any dip towards 12,040 could be used to create long positions

Nifty50 resumed its upward journey following a minor hiccup in Friday’s trading session to shut shop at a fresh all-time high, comfortably above the 12000-mark on Monday.

Further, it has broken out from an Ascending Triangle pattern neckline which also was the recent all-time high i.e. 12,040 suggesting a continued bullish stance for the coming trading sessions.

A sustained trade above 12,050 will take the index higher to levels of 12155-12240. Any intraday throwback to this level of 12,040-12,050 can be used to initiate fresh longs for upside targets of 12,155-12,240.

However, if the index fails to hold onto this crucial support of 12,040-12,030, it can halt the immediate bullishness dragging it lower to levels of 11,920-11,830.