Buy Sell or Hold: What should investors do with KEC International, Privi Speciality and Shilpa Medicare

The Indian market has been trading flat in Thursday's intraday trade tracking volatility in the global markets. The volatility was largely driven by the US inflation data, which came out at a 41-year high at 9.1% on Wednesday.  

On Thursday's afternoon trade around 12.30 pm, the broader Nifty50 was trading flat at 15,972.90, while the Sensex rose marginally by five points to 53,520. 

"Even though the keenly awaited US CPI inflation data for June came at 9.1% against expectation of 8.8%, the US markets declined only moderately, by less than 1%. It is important to note that core inflation (inflation minus food and energy) in the US is declining and, therefore, CPI inflation too will decline, going forward, since crude prices have corrected sharply," pointed out V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services. 

The higher than expected US  inflation means the Fed will continue its aggressive tightening in the near-term with another 75bp hike in July, perhaps even by 100bp, he said. 

Midcap and small cap stocks were seen trading under huge pressure as Nifty midcap dropped by more than 0.3%, while Smallcap index declined by nearly one per cent.  

Healthcare and pharma stocks attracted good buying interest as all other sectoral indices traded flat or with minor gains or losses.  

Meanwhile, certain stocks came in focus on Wednesday. These stocks were KEC International, Privi Speciality and Shilpa Medicare. Here is what Santosh Meena, Head of Research, Swastika Investmart Ltd, suggests one should do with these stocks. 

KEC International: 

The counter has witnessed a breakout of a bullish inverse head and shoulder formation with heavy volume. It manages to close above its 200-DMA where we can expect a rally towards the 485 level. Now, the breakout level of 423 will act as strong support. Momentum indicators are positively poised to support the breakout and suggest more upside.  

Privi Speciality  

The counter is finding its feet around 1000 level after a vertical fall from 2200 level. On the upside, 50-DMA of 1160 is an immediate hurdle; above this, we can expect a move towards the 1250 level however it has to sustain above the 1250 level for further upside. On the downside, if it slips below the 1000 level then selling pressure may get extend towards the 800 level.  

Shilpa Medicare 

The counter is creating a strong base at level 380 where 425-430 is an immediate resistance zone; above this, we can expect a rally towards 200-DMA which is currently placed at 490 level. On the downside, 400 will act as immediate support while 380 is a sacrosanct support level. Momentum indicator RSI is witnessing positive divergence. 

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