Buy, Sell or Hold: What should investors do with Jubilant Ingrevia and Bajaj Electricals?

Indian market closed higher for the second consecutive day in a row on Wednesday following positive global cues. The S&P BSE Sensex rallied more than 1200 points, while the Nifty50 closed above 16300 levels.

Sectorally, buying was seen in energy, realty, auto, consumer discretionary, industrials while selling was seen in metals, and power stocks.

Stocks that were in focus include Jubilant Ingrevia, which rose over 10 per cent, and Bajaj Electricals that was down more than 5 per cent 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:

Jubilant Ingrevia: Buy

The counter took support at 400 following a meaningful correction and then witnessed a bullish Morning Star candlestick formation on the daily chart, therefore we can expect a bullish reversal in it.

On the upside, 520 will be the immediate resistance level, while 600 will be the next important hurdle. Momentum indicator RSI is witnessing positive crossover with positive divergence.

Bajaj Electricals: Hold

The counter is forming a triangle formation. It has retested its previous breakout level after hitting a fresh 52-week high of Rs. 1588.

On the upside, 1200 is an immediate resistance area; above this, we can expect a run-up towards 1400+ levels in the near term. On the downside, Rs. 920 is major support at any correction.

(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.)