The benchmark BSE Sensex today surged by around 277 points to close at more than five-month high of 35,934.72 on heavy buying in energy, capital goods, power and banking stocks following positive leads from global markets, PTI reported.A strengthening rupee against the US dollar also bolstered the trading sentiment even as investors shifted their focus to corporate earnings from trade war worries.Here are two trading ideas for Tuesday by Manas Jaiswal of Manas Jaiswal Technical Research Group: Karnataka BankLast week the lender made a hammer pattern and on Monday it broke its 50-day moving average with great volumes.
The stock has a potential to test its 200-day moving average.
My target is around Rs 128, with stop loss at Rs 113.Mahanagar Gas Indraprastha Gas (IGL) and Mahanagar Gas (MGL) both are looking strong.
IGL has broken the neck line of universe head and shoulder pattern.
MGL has broken the trend line resistance with decent volumes.
After this move it seems that the stock is ready to give a bounce back.
The stock can test 100-day moving average, so target would be around Rs 818 with a stop loss at Rs 815.