India market closed in the green for the fifth consecutive day on Thursday. The S&P BSE Sensex closed above 61200 while the Nifty50 also managed to hold above 18250 levels.

COMMERCIAL BREAK
SCROLL TO CONTINUE READING

Sectoral buying was seen in metals, capital goods, power, and utilities while selling pressure was seen in realty, banks, consumer discretionary, and finance.

See Zee Business Live TV Streaming Below:

Stocks that were in focus include Tata Steel that closed with gains of over 6 per cent, HCL Technologies which fell over 1 per cent and Jindal Stainless that closed with gains of over 7 per cent on Thursday.

Here's what Mazhar Mohammad, Chief Strategist – Technical Research & Trading Advisory, Chartviewindia.in, recommends investors should do with these stocks when the market resumes trading today:

Tata Steel: Buy

This counter seems to have broken out from a 31-Day consolidation zone as it cleared its upper end of the sideways phase on much higher volumes with decent price appreciation.

Hence, if it sustains above 1152 levels then it can initially head towards 1280 where some resistance can be expected from the down sloping trend line and beyond that strength can extend towards 1340.

For the time being, traders who already invested in this can continue by placing a stop below 1150 whereas fresh buying can be considered on a dip into the zone of 1200 – 1170.  

HCL Technologies: Avoid

The last two sessions of price behavior were quite disappointing with indecisive formations. Hence, for strength, this counter needs to sustain above 1359 levels on a closing basis after the result session. In that scenario, strength can be expected towards 1397.

However, any disappointment can initially drag it down towards 1277 levels which again it needs to sustain on a closing basis after the result.

For time being short-term traders will be better off by avoiding this counter whereas positional traders should place a stop below 1277 on closing basis.      

Jindal Stainless: Buy

The last 24 weeks of price action seem to have carved out an ascending channel as this counter exactly took support on the demand line of the said channel with a low of 152 last December.

Since then, it moved higher only to enter into uncharted territories in the last trading session. Moreover, the price spike witnessed in last trading session on the back of huge volumes, erased the minor downswing of 5 sessions from the highs of 206 to 188 in just one single stroke.

Therefore, sustaining above, 190 levels this counter can eventually head higher to test the upper boundary of the weekly channel. For time being one can buy into this counter for a target of 247 with a stop below 190.            

(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.)