Indian market created history on Monday as the Nifty50 crossed the milestone 18,000-mark in early trade to register a record high of 18,000.65. The S&P BSE Sensex saw gains of more than 200 points, thanks to positive global cues, but broader market indices hit fresh record highs.

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The S&P BSE Mid-cap index and the S&P BSE Small-cap index also hit their fresh record highs.

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The Nifty50 which rallied over 2 percent for the week ended October 8. The level of 18000 is turning out to be a stiff resistance for the index in the week gone by.

Experts are of the view that if Nifty50 manages to close above 17950-18000 levels on closing basis then it would open room for the index to head towards 18100-18200 levels.

"The markets are cruising well above the 17950 level! If we can sustain this on a closing basis, the Nifty should be headed to 18200 as the next pit stop,” Manish Hathiramani, proprietary index trader and technical analyst, Deen Dayal Investments, said.

“The updated support for the week is 17800. This makes for a good risk/reward ratio and hence dips or intraday corrections can be utilized to enter fresh long positions,” he said.

Technically, the Nifty50 index took support near 20-Days SMA last week and reversed sharply. It also maintained higher bottom series formation which supports a short-term uptrend.

“We are of the view that the daily and intraday chart structure is positive and likely to continue in near future. For the positional traders, 17800/59800 would be the key support level to watch out for,” Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities Ltd, said.

“The same uptrend formation will continue up to 18100-18300/60500-60850 on the flip side, below 17800/59800 could possibly trigger a quick technical correction. Below the same, the correction wave is likely to continue up to 17600-17500/59200-58800,” he said.

Chouhan is of the view that the texture of the market is volatile hence level based trading with strict stop losses would be the ideal strategy for the positional traders. The sectors which would be in focus - Banking, and IT stocks.

We have collated a list of 9 trading ideas by different experts that could give 6-29% returns in the next 3-4 weeks:

Expert: Sachin Gupta, AVP, Research at Choice Broking

BSE: Buy| LTP: Rs 1337| Target: Rs 1500| Stop Loss: Rs 1250| Upside 12%

On a weekly chart, the stock has given a break from its major resistance level of 1300 as well as it gave a close above the same with a rise in volumes that suggests a northward direction in the counter.

Furthermore, the stock has formed a bullish Marubozu candle on the weekly chart which adds further strength in the counter.

A momentum indicator RSI and MACD both have shown positive crossover on the daily chart which adds more bullishness to the price.

Moreover, the stock has been trading above its 21-Days Moving Average which suggests that the stock has a great potential to move further.

As per the above technical parameters, we are expecting a bullish move in the stock for the target at 1440/1500 levels while on the downside, the support comes at Rs 1250 levels.

NLC India: Buy| LTP: Rs 69.45| Target: Rs 90| Stop Loss: Rs 55-60| Upside 29%

The stock has been rising for the last three weeks without enabling a selling pressure. The stock has also shifted above 200-weeks EMA, which indicates a bullish momentum for the long term.

On the daily chart, the price has confirmed the Trendline breakout and moved above it with higher volume also a price shifted above Upper Bollinger Band formation & 50-days SMA, which support the bullish presence in the stock.

A momentum indicator RSI, Stochastic & MACD is supporting the bullish trend along with the positive crossover on the daily timeframe.

As per the above technical parameters, we are expecting a bullish move in the stock for the target at 80/90 levels while on the downside, the support comes at 55/60 levels.

Dwarikesh Sugar Industries: Buy| LTP: Rs 75.70| Target: Rs 85-100| Stop Loss: Rs 65-70| Upside 12%

On the daily chart, the stock has given a breakout of the upper band of falling wedge pattern which points out strength in the counter.

Furthermore, the stock has given a breakout of the Accumulation Phase with a positive crossover of 50*100 Days Moving Average which can be considered as a Bullish Crossover which shows a Bullish movement in the counter.

A daily momentum indicator RSI and MACD both have shown positive crossover on the daily chart which adds more bullishness to the price.

On the other hand, Price has shifted above “Ichimoku Cloud” where TenkanSen has crossed KijunSen, which indicates bullish signals for the near term.

As per the above technical parameters, we are expecting a bullish move in the stock for the target at 85-100 levels while on the downside, the support comes at 70/65 levels.

Expert: Rajesh Palviya, VP - Technical & Derivative Research, Axis Securities

Canara Bank: Buy| LTP: Rs 177| Target: Rs 195-203| Stop Loss: Rs 167| Upside 14%

On the weekly chart, the stock has witnessed a “Triangle” formation breakout around 170 levels indicating
resumption of earlier up move.

The stock is well placed above its 20, 50, and 100-Day SMA’s which reconfirm bullish sentiments

Rising volumes at the breakout zone signal increased participation. The stock is in an uptrend forming a series of higher tops and bottoms

The daily and weekly strength indicator RSI is in bullish mode which supports rising strength as well as momentum. The above analysis indicates an upside of 195-203 levels. The holding period is 3 to 4 weeks.

NOCIL Ltd: Buy| LTP: Rs 305| Target: Rs 330-338| Stop Loss: Rs 285| Upside 8%

On the daily chart, the stock has witnessed “Triangular” formation breakout at 298 levels on a closing basis along with rising volumes.

The stock is trending up across all the time frames forming a series of higher Tops and higher Bottoms representing a strong uptrend.
 
This buying momentum was observed from 20-day SMA (291) which reconfirms bullish sentiments.

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 330-338 levels. The holding period is 3 to 4 weeks.

Bharat Heavy Electricals Limited: Buy| LTP: Rs 65.45| Target: Rs 73-78| Stop Loss: Rs 58| Upside 12%

On the daily chart, the stock has rebounded from its Up-sloping Trend line support zone of 63 levels

Rising volumes near the support zone imply increased participation in short-term corrections. This buying momentum was observed from its 100-Day SMA ( 62.80) which remains a crucial support zone.

The stock is well placed above its 20, 50 Day SMA which reconfirms upside momentum. The holding period is 3 to 4 weeks.

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 73-78 levels.

UFLEX Ltd: Buy| LTP: Rs 619| Target: Rs 660| Stop Loss: Rs 580| Upside 6%

On the weekly chart, the stock has witnessed “Multiple Resistance Zone” breakout at 580 levels indicating strong comeback of bulls

On the daily chart, the stock has also witnessed an “Inverse Head &Shoulder” pattern breakout.

This breakout is accompanied by huge volumes indicating increased participation. The weekly Bollinger Band buy signal also reconfirmed rising momentum.

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 660-685 levels. The holding period is 3 to 4 weeks.

Brokerage Firm: SMC Global Securities Ltd

The Federal Bank: Buy| LTP: Rs 85.60| Target: Rs 97| Stop Loss: Rs 78| Upside 14%

The stock closed at Rs 85.45 on 08th October, 2021. It made a 52-week low at Rs 49.80 on 30th October, 2020 and a 52-week high of Rs. 92.50 on 04th March, 2021. The 200-days Exponential Moving Average (DEMA) of the stock on the daily chart is currently at Rs 79.57

The short-term and medium-term bias are looking positive for the stock as it is trading in higher highs and higher lows on charts. Apart from this, it is forming an “Inverse Head and Shoulder” pattern on weekly charts which is bullish in nature.

Last week, the stock closed on verge of neckline breakout of pattern along with high volumes. So, buying momentum may continue for the coming days. Therefore, one can buy in the range of 83-84 levels for the upside target of 97-100 levels with a stop loss below 78 levels.

Indian Bank: Buy| LTP: Rs 141| Target: Rs 160| Stop Loss: Rs 127| Upside 13%

The stock closed at Rs 139.70 on 08th October, 2021. It made a 52-week low of Rs 56.20 on 15th October, 2020 and a 52-week high of Rs. 157.00 on 18th February, 2021. The 200-days Exponential Moving Average (DEMA) of the stock on the daily chart is currently at Rs 121.77.

The short-term and medium-term bias are looking positive for the stock as it is trading in higher highs and higher lows on charts.

Apart from this, it is forming an “Inverse Head and Shoulder” pattern on weekly charts which is bullish in nature.

Last week, the stock closed on verge of neckline breakout of pattern along with high volumes. So, buying momentum may continue for the coming days. Therefore, one can buy in the range of 137-139 levels for the upside target of 160-165 levels with a stop loss below 127 levels.

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.