19
NEW DELHI: Mirroring global peers, the domestic stock market took deep cuts during the week gone by as trade war tensions, a weakening rupee and rise in crude oil prices weighed on investor sentiment.
Analysts said nervousness among investors will continue as global clues remain negative and key indices are likely to trade in a tight range over the next couple of weeks.
"Rising trade war worries, spike in crude oil prices, tightening of global economies have hurt our economy and market sentiments.
With no significant event lined up for coming week, global clues will continue to dominate trading sentiments and stock-specific approach will continue," says Gaurav Jain, Director at Hem Securities.
Brokerages are betting on select names to do well even in this market.
Based on tech chart reading, analysts have come up with 'buy' ratings on the following 12 stocks, which they said should log gains over the next 14-21 sessions.
Jay Anand Thakkar, CMT, Anand Rathi SharesApollo Hospitals | BUY | Target Price: Rs 1,174 | Stop loss: Rs 1,020Apollo Hospitals has seen a breakout from the downtrend line resistance with a buy crossover in its momentum indicators on the daily as well as the hourly charts.
The move prior to this was a five-wave rise, i.e.
an impulse on the daily charts.
Hence another impulse on the way up seems to have started.
The minimum equality target on the upside comes to Rs 1,174 levels whereas the support on the lower side is pegged below the trend line breakout levels.
Hindustan Zinc | BUY | Target Price: Rs 296 | Stop loss: Rs 269Hindustan Zinc has formed a leading diagonal pattern in its wave A.
The leading diagonal seems to have gotten over and the stock seems to have reversed from the lower end of the diagonal.
The momentum indicators in the short term look quite oversold and a bounce back of 38.2 per cent can’t be ruled out.
“Hence, we recommend buying for a minimum of 38.2 per cent retracement i.e.
Rs 296 with a stop loss of Rs 269,” the analyst said.
Kapil Shah, Emkay Global Financial ServicesSAIL | BUY | Target Price: Rs 89 | Stop loss: Rs 80After a strong decline, the stock is forming a base and on lower time frame it has started to form higher high and higher low which is positive sign.
Intermediate correction has halted at 100-DMA and formed Hammer pattern which is bullish reversal sign.
Kolte Patil | BUY | Target Price: Rs 290 | Stop loss: Rs 255The stock has taken 108 months to formed Cup and Handle pattern which is strong bullish reversal sign.
It has retested its earlier breakout level and formed strong bullish candle which is a sign of termination of intermediate correction and continuation of positive move.
Nirav Chheda, Nirmal Bang SecuritiesKotak Mahindra Bank | BUY | Target Price: Rs 1,400 | Stop loss: Rs 1,280Weekly chart of the stock indicates formation of a Flag Pattern.
It is on the verge of giving the break of pattern i.e.
Rs 1,350 level indicates positive sign.
The stock may gain the momentum once it manages to break Rs 1,350 levels may extend its rally towards an all-time high level.
Buy the stock at Rs 1,339 and on dips to Rs 1,310 for a target of Rs 1,400 with a strict stop loss placed below Rs 1,280.
Infosys | BUY | Target Price: Rs 1,335 | Stop loss: Rs 1,275The stock continues to make a higher top and higher bottom formation on the daily and weekly charts indicating positive bias.
The positive movement is aided by consistent volumes and reasonable deliveries.
The daily and weekly RSI continue to remain positive and above their respective reference lines indicating that the stock rally is likely to continue in the near to short term.
One can buy the stock with a stop loss of Rs 1,275 on a closing basis and expect a target of Rs 1,335-Rs 1,350.
Mazhar Mohammad, Chartviewindia.inVedanta | BUY | Target Price: Rs 257 | Stop loss: Rs 225After the recent crash from the highs of Rs 313 to Rs 221, this counter appears to have hit a bottom around Rs 220 as it is more or less trading flat for last eight trading sessions, irrespective of recent carnage witnessed in the market.
Hence, on a bounce back, it can easily test its 50-day EMA on the way upside.
Positional traders can create fresh longs with a stop below Rs 225 on closing basis for a target of Rs 257.
ICICI Prudential Life | BUY | Target Price: Rs 397 | Stop loss: Rs 365The recent correction from the highs of Rs 462 brought it down towards its critical support of Rs 368 levels from where it rightly bounced back in Friday’s session.
Sustaining above this level, on a pullback, this counter can be expected to test its 200-day moving average.
Hence, positional traders are advised to buy into this counter with a stop below Rs 365 on closing basis for a target of Rs 397.
Nagaraj Shetti, HDFC SecuritiesBata India | BUY | Target Price: Rs 930 | Stop loss: Rs 810The weekly time frame chart of this footwear stock (Bata India) is indicating a sharp upward move in the last couple of weeks.
“We observe an intermediate uptrend in the stock price, and the stock prices have moved up as per the positive sequence of higher tops and bottoms.
We observe rise in volume during uptrend move in the last two weeks, which is signalling a participation of bulls in this counter.
One may look to buy Bata India at Friday's closing market price of Rs 859.40, and add more on dips up to Rs 835 for the upside target of Rs 930 over the next 3-4 weeks.
Place a stop loss at Rs 810,” he said.
YES Bank | BUY | Target Price: Rs 372 | Stop loss: Rs 320The stock, as per weekly time frame, has been moving in a sideways range over the last couple of months.
Presently, the stock price is holding above the key support of Rs 328 levels, as per the concept of change in polarity.
“We also observe a formation of higher tops and bottoms, which is signalling strength of uptrend.
Rise in volume and the positive indication by the momentum oscillator is suggesting a long trading opportunity.
Buying can be initiated in YES Bank at Friday's closing price of Rs 339.65, for the upside target of Rs 72 for the next 3-5 weeks.
Place a stop loss at Rs 320,” he said.
Milan Vaishnav, CMT, MSTAReliance Industries | BUY | Target Price: Rs 1,030 | Stop loss: Rs 935This stock is moving in a trading range in the form of a rectangle formation over past couple of months.
The stock attempted a breakout but suffered a throwback and returned inside the trading range again.
In the recent corrective move, it has bounced off from its 100-DMA forming a big white body on the Candles.
The RSI has formed a higher bottom and is seen inching higher.
The weekly MACD remains in continuing buy mode.
The stock sees possibilities of inching higher in coming days.
Any move below Rs 935 will be negative for the stock.
LT | BUY | Target Price: Rs 1,330 | Stop loss: Rs 1,230This stock tested the high around Rs 1,470 mark and then entered a corrective phase.
It retraced from the Rs 1,423 - Rs 1,425 zone after marking a classical double top.
Couple of signals have emerged which point towards likely resumption in upward move.
A pattern resembling a “Morning Star” emerged on Candles and it remains significant as it occurred after a downtrend.
RSI has just crossed above 30 from a bottoming formation.
This is a bullish sign.
A candle with a long lower shadow occurred on the weekly charts.
A buy signal over Stochastic has emerged on the weekly charts.
Some upward revision of price is likely over coming days.
Any move below Rs 1,230 will be negative for the stock.
(Views and recommendations given in this section are the analysts’ own and do not represent those of ETMarkets.com.
Please consult your financial adviser before taking any position in the stock/s mentioned.)
