Buy, Sell or Hold: What should investors do with India Cements & Minda Industries?

Indian market closed in the green for the second consecutive day in a row on Wednesday. The S&P BSE Sensex rallied by over 600 points, while the Nifty50 closed above 16900 levels.

On the sectoral front, buying was seen in realty, energy, capital goods, auto and telecom space.

See Zee Business Live TV Streaming Below:

Stocks that were in focus include India Cement that closed with gains of over 5 per cent, and Minda Industries which settled with over 8 per cent gains on Wednesday.

Here's what Santosh Meena, Head of Research, Swastika Investmart Ltd, recommends investors should do with these stocks when the market resumes trading today:

India Cement: Buy

The counter is in moving in an up-sloping channel formation on a weekly time frame where it took support at the lower trendline of the channel after a meaningful correction and managed to bounce back above its 200-DMA.

The long-term moving average i.e. the 200-DMA is an immediate and important hurdle, and above this, we can expect a move towards the upper trendline around 240-250 area.

On the downside, 175 has become the near-term base, and if the stock slips below this, the structure will become weak. Momentum indicator RSI managed to hold the support of 40 mark on the weekly time frame.

Minda Industries: Buy on Dips
 
It is one of the strongest counters in the entire midcap basket that is witnessing a strong bullish momentum after giving a breakout from a diagonal cup and handle formation.  

The level of Rs 1,300 could act as a minor hurdle on an immediate basis as most of the momentum indicators are in an overbought territory, however, it has the potential to move towards the 1500-mark in the near term.

On the downside, the 1075-975 range has become a strong demand zone and any correction in this counter will be a great buying opportunity.

(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.)