INSUBCONTINENT EXCLUSIVE:
NEW DELHI: Indian stocks showed up in green early Monday, in light of tepid gains in Asian markets, after China grew at 6.4 per cent in
December quarter.
The world's second-largest economy grew by about 6.6 per cent in 2018, according to official data, slowest annual pace
China has seen since 1990.
Experts said market was expecting weak Chinese numbers and now Beijing may announce more fiscal stimulus to
support its economy, which is already reeling under Sino-US trade war.
Back home, gains in IT, bank and financial stocks amid hopes of
healthy December quarter earnings helped market stay in positive territory.
Oil's softness in global market also spurred buying
The rupee, however, lost weight, which opened 15 paise down at 71.34 against dollar
The BSE Sensex rallied 210 points, or 0.58 per cent, to 36,597 around 9.45 am
The Nifty was up 51 points, or 0.47 per cent, at 10,958
Market analysts see a strong opportunity in select stocks in this current market
Based on brokerage recommendations, here is a list of 10 stocks that can potentially generate gains over next 2-3 weeks
loss: Rs 416This counter appears to have formed a short-term bottom as it is repeatedly attracting buying interest around Rs 417 levels
In last couple of sessions, bulls have gained upper hand in this counter, which traded close to Rs 418
"Sustaining above Rs 420, it can make an attempt to test its interim top of Rs 440
Positional traders can create fresh longs with a stop below Rs 416 on a closing basis and look for an initial target of Rs 439," Mohammad
said.
Hero MotoCorp| Buy| Target price: Rs 3,118| Stop loss: Rs 2,855After retracing around 80 per cent of its last leg of rally from lows
of Rs 2,648, this counter appears to be making an attempt to form a base around Rs 2,856 for quite some time
If it bottoms out around these levels, it can easily retrace by a minimum of 50 per cent of fall from highs of Rs 3,380
"As risk-reward ratios looks favourable, in anticipation of a pullback move, positional traders are advised to go long for an initial target
of Rs 3,118, with a stop below Rs 2,855 on a closing basis," Mohammad said.
Gajendra Prabu, Technical Analyst, HDFC SecuritiesHCL
Technologies| Buy| Target price: Rs 1,060| Stop loss: Rs 918The stock has validated Doji candle pattern formed on a weekly chart in previous
The stock has been forming higher tops and higher bottoms in smaller degree, which is a bullish continuation structure
This apart, breakout of falling wedge pattern has been witnessed, which is also a bullish development
In addition, price has moved above short-term key moving average of 21-day EMA; this could add strength to bulls
"Traders may look to buy stock at current market price and add in dips to Rs 930 for upside target of Rs 1,060 over next 2-3 weeks
Place a stop loss at Rs 918," said Prabu.
Godfrey Phillips India| Buy| Target price: Rs 1,050| Stop loss: Rs 890The stock has completed
initially move above Rs 1,050 (which is slightly below key swing high)
Falling wedge breakout has been witnessed in a bigger picture
The stock has rebounded with strong positive divergence in RSI
Also, price is trading above all key moving averages of 21-, 50- and 200-day EMA
The stock is in process of forming an engulfing bull candle on monthly chart (for yet unfinished month)
"Traders may look to buy stock at current market price and add in dips to Rs 910 for upside target of Rs 1,050 over next 2-3 weeks
Place a stop loss at Rs 890," Prabu said.
Vaishali Parekh, Senior Technical Analyst, Prabhudas Lilladher Kotak Mahindra Bank| Buy| Target
price: Rs 1,380| Stop loss: Rs 1,190The stock has more or less made a higher bottom formation pattern in daily chart to take support at near
Rs 1,200, which is also where 50-DMA lies
It has indicated a decent turnaround to make bias positive and has strength to rise further with same momentum in coming days
The indicators have become favourable and RSI is also indicating a trend reversal, signalling a buy
HDFC| Buy| Target price: Rs 2,170| Stop loss: Rs 1,950The stock has been consolidating for quite some time now, gathering strength, and is
on cusp of a breakout to signify fresh upward movement in coming days
The chart looks attractive and with favourable indicators supporting, stock is poised for an upmove
"With decent volume participation witnessed, we recommend a buy in this stock for an upside target of Rs 2,170, keeping a stop loss of Rs
1,950," said Parekh.
Aditya Agarwala, Senior Manager, Technical Analyst, YES Securities (India) Coffee Day Enterprises| Buy| Target price:
Rs 325-340| Stop loss: Rs 274On weekly chart, Coffee Day Enterprises is approaching neckline of a falling channel pattern placed at Rs 300
A successful breakout and a sustained trade above channel resistance can extend upward movement to levels of Rs 325-340
Further, it has recently witnessed volume-backed buying, confirming trend reversal in favour of bulls
RSI has also turned upwards after taking support at lower end of bull zone i.e
40- level and has formed a positive reversal on daily chart suggesting bullishness dominant in stock
"The stock can be bought in range of Rs 292-296 for targets of Rs 325-340, keeping a stop loss below Rs 274," said Agarwala.
Wipro| Buy|
Target price: Rs 365-380| Stop loss: Rs 330On daily chart, Wipro has broken out from an ascending triangle pattern neckline on good volumes,
triggering resumption of uptrend
Further, stock has taken support at 50 per cent Fibonacci retracement level and turned higher, affirming bulls gaining momentum
A sustained trade above Rs 345 will extend upward movement to levels of Rs 365-380
Moreover, RSI has turned upwards from 50-level after forming a positive reversal affirming bullishness
"The stock can be bought in range of Rs 344-348 for targets of Rs 365-380, keeping a stop loss below Rs 330," said Agarwala.
Sameet Chavan,
Chief Analyst, technical derivatives, Angel BrokingBritannia Industries| Buy| Target price: Rs 3,460| Stop loss: Rs 3,060This FMCG giant
has been a steady performer for last many years
This is a sign of strength and going ahead, stock is expected to resume its long-term uptrend soon.
SMC Global SecuritiesIndraprastha Gas|
Buy| Target price: Rs 300-305| Stop loss: Rs 260The 200-Day Exponential Moving Average (DEMA) of stock, on daily chart, is at Rs 268.89
Short-term, medium-term and long-term biases are positive for stock as it is comfortably above important moving averages such as 100-WEMA
and 200-DEMA, which indicates uptrend for stock
Apart from this, it was forming a 'continuation triangle' on weekly charts and has given pattern breakout in last traded week
It has also managed to close above same
So, follow up buying can continue
Therefore, one can buy in range of Rs 275-277 levels for upside target of Rs 300-305 with a stop loss below Rs 260.
(Views and
recommendations given in this section are analysts' own and do not represent those of ETMarkets.com
Please consult your financial advisor before taking any position in stock/s mentioned.)
