Buy, Sell or Hold: What should investors do with Eicher Motors, Hindalco, Narayana Hrudayalaya?

Indian market closed with gains of over 2 per cent for the week ended December 31. It is the second straight week of gains for domestic exchanges in the run up to the New Year.

Sectors include healthcare, consumer durables, Infra as well as capital goods led the charge, last week . The NiftyBank also witnessed buying of 1.8 per cent for the week ended December 31.
Stocks like Eicher Motors rose 6 per cent. Meanwhile, Hindalco Industries rallied more than 11 per cent and Narayana Hrudayalaya closed with gains of about 9 per cent for the week ended December 31.

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Here's what Rajesh Palviya, Head-Technicals, and Derivatives at Axis Securities, recommends investors should do with these stocks when the market resumes trading today:

Eicher Motors: Buy| LTP: Rs 2589| Target Rs 2720-2760| Stop Loss Rs 2470

On the daily chart, the stock has observed a trend reversal as it has confirmed a “W” pattern on a closing basis.

This breakout is accompanied by rising volumes indicating increased participation at lower levels. The stock is well placed above its 20 and 50-Days SMA which supports bullish sentiments.

The daily and weekly strength indicator RSI and the momentum indicator Stochastic are in a bullish mode which supports rising strength as well as momentum.

The above analysis indicates an upside of 2720-2760 levels. The holding period is 3 to 4 weeks.

Hindalco: Buy| LTP Rs 475| Target Rs 490-510| Stop Loss Rs 455

On the daily chart, the stock has decisively broken out from its three-month “Inverse Head & Shoulder ” pattern on a closing basis which is a positive sign.

This breakout is accompanied by huge volumes indicating increased participation. On the daily chart, the stock has confirmed higher tops and higher bottoms formation indicating an uptrend.

The daily and weekly strength indicator RSI is in bullish mode along with positive crossover which supports rising strength in the near term.

The above analysis indicates an upside of 490-510 levels. The holding period is 3 to 4 weeks.

Narayana Hrudayalaya: Buy| LTP Rs 638| Target Rs 700-730| Stop Loss Rs 615

The stock has confirmed the “consolidation range” breakout on a closing basis, with the last closing. On the weekly chart, the stock is trending higher forming a series of higher tops and bottoms.

Rising volumes at the breakout zone imply increased participation. The stock is sustaining above its 20, 50 and 100 as well 200 Day SMA which reconfirms bullish sentiments ahead.

The daily and weekly strength indicator RSI is in bullish mode along with positive crossover which supports rising strength. The above analysis indicates an upside of 700-730 levels.

(Disclaimer: The views/suggestions/advices expressed here in this article is solely by investment experts. Zee Business suggests its readers to consult with their investment advisers before making any financial decision.)