The benchmark indices rebounded nearly one percent on October 8, breaking a six-day losing streak with strong market breadth. About 2,045 shares advanced, while 474 shares declined on the NSE. The market may climb further amid consolidation, but it is unlikely to break Monday's low soon. Below are some trading ideas for the near term:
Ashish Kyal, CMT, Founder and CEO of Waves Strategy Advisors
BSE | CMP: Rs 4,243
In the previous session, the BSE witnessed a massive move of 10.9 percent amidst modest market performance, making a fresh lifetime high of Rs 4,275. The stock has been in an uptrend since October 2023 and continues to trade within the channel. Currently, prices are at the channel resistance. A decisive break above the Rs 4,275 level is needed for the ongoing momentum to continue. Last week, the stock took support near the mid-band of the Bollinger Bands and moved up from it. Furthermore, the RSI (Relative Strength Index), which is around 68, indicates that there is still upside potential. In summary, the trend for BSE is bullish. A breach above Rs 4,275 could see the stock accelerate toward Rs 4,450, followed by Rs 4,650, as long as Rs 4,140 remains protected on the downside.
Strategy: Buy
Target: Rs 4,450, Rs 4,650
Stop-Loss: Rs 4,140
Safari Industries India | CMP: Rs 2,662
In the previous session, Safari Industries gave a breakout, gaining more than 10 percent with an increase in volume, indicating accelerated buying pressure. The stock also made a fresh high at the Rs 2,700 level. Currently, prices are trading above the upper Bollinger Bands. If buying persists, one can expect positive momentum to continue. Additionally, the MACD (Moving Average Convergence Divergence) has given a bullish crossover, which serves as a double confirmation for our stance. Therefore, a buy-on-dips strategy is recommended for better risk-reward potential to ride the trend. In summary, the current trend for Safari is positive. Use dips towards Rs 2,580 as a buying opportunity with a target of Rs 2,700, followed by Rs 2,850, as long as Rs 2,550 holds on the downside.
Strategy: Buy
Target: Rs 2,700, Rs 2,850
Stop-Loss: Rs 2,550
India Glycols | CMP: Rs 1,477.5
India Glycols showed a sharp rally in the previous session, gaining 16.60 percent in a single trading day! The stock has formed a rounding bottom pattern and closed above Rs 1,400, confirming the breakout of the pattern. On the daily chart, the price is trading above the Ichimoku cloud, indicating a bullish short-term bias. In summary, the current trend for India Glycols is positive. Use dips towards Rs 1,450-1,465 as a buying opportunity for a move towards Rs 1,550-1,570, as long as Rs 1,390 holds on the downside.
Strategy: Buy
Target: Rs 1,550, Rs 1,570
Stop-Loss: Rs 1,390
OM Mehra, Technical Analyst at Samco Securities
ABB India | CMP: Rs 8,154.65
ABB India has broken out of a triangle pattern and rebounded from the support zone. On the daily chart, ABB has formed a Bullish Engulfing pattern accompanied by notable volumes. The daily RSI has risen from 50 to 56, signaling improving strength. The stock is now trading above both the 10 and 20 EMAs (Exponential Moving Averages). Additionally, the super trend indicator shows a bullish signal near the support zone. Based on this technical structure, one can initiate a long position at the CMP of Rs 8,154.65.
Strategy: Buy
Target: Rs 8,900
Stop-Loss: Rs 7,700
Max Healthcare Institute | CMP: Rs 956
Max Healthcare Institute, which was in a consolidation phase, is now showing gradual upward momentum as previous resistance turns into support. A minor resistance around Rs 965 presents a key level to watch; breaking this level could trigger further gains. Strong volume participation and the stock sustaining above its 20-DMA confirm the bullish trend. Based on this technical structure, one can initiate a long position at the CMP of Rs 956.
Strategy: Buy
Target: Rs 1,050
Stop-Loss: Rs 910
CG Power and Industrial Solutions | CMP: Rs 780
CG Power & Industrial Solutions is forming higher highs and higher lows, indicating a sustained uptrend. It is well above its short-term 20-day moving average. The previous resistance of Rs 760 has now turned into support. The daily RSI stands at the 60 level, and a noticeable increase in volume further confirms the bullish outlook. Therefore, based on this technical structure, one can initiate a long position at the CMP of Rs 780.
Strategy: Buy
Target: Rs 880
Stop-Loss: Rs 745
Riyank Arora, Technical Analyst at Mehta Equities
Godrej Properties | CMP: Rs 2,952
Godrej Properties recently tested a major support level at Rs 2,850, where the stock bounced back sharply, indicating a strong bullish reversal. The price action suggests increasing buying interest at lower levels. The RSI at 46 reflects a neutral stance, but the volume surge confirms rising momentum. The stock appears poised for further rally, with the next target at Rs 3,200. Investors can look to enter near current levels while maintaining a tight stop-loss to manage risk effectively.
Strategy: Buy
Target: Rs 3,200
Stop-Loss: Rs 2,800
Siemens | CMP: Rs 7,372
Siemens recently touched the anchor VWAP (volume-weighted average price) support mark of Rs 7,025 and formed a strong bullish candle, signaling a potential reversal. Increased volumes further support the bullish thesis, with the stock showing positive price action. An RSI of 60 suggests that the stock is in an uptrend with room for further upside. Immediate resistance is near Rs 7,750, which is the next key level to watch. A buy near current levels offers a favourable risk-reward setup with a clear stop-loss at Rs 7,000.
Strategy: Buy
Target: Rs 7,750
Stop-Loss: Rs 7,000
Jindal Steel & Power | CMP: Rs 983
Jindal Steel has found support near the trendline at Rs 975, from where strong buying interest has emerged, pushing the stock higher. The RSI at 43 indicates there is still room for further gains, suggesting the stock is not yet overbought. With the stock currently trading at Rs 983, the risk-reward ratio looks favourable for traders looking to capture gains up to Rs 1,020 and Rs 1,060. A stop-loss at Rs 965 provides a tight risk boundary for this trade. Volume data is also supportive of further upside movement.
Strategy: Buy
Target: Rs 1,020, Rs 1,060
Stop-Loss: Rs 965
Bajaj Finserv | CMP: Rs 1,838
Bajaj Finserv has nearly reached its immediate support level at Rs 1,820, where risk-reward dynamics are strongly favourable for a potential rebound. The stock is showing signs of reversal, supported by an RSI of 46, suggesting improving momentum. With the next resistance near Rs 1,900, the stock offers solid upside potential from current levels. The recent price action reflects strong buying interest, and entering near these levels with a stop-loss at Rs 1,800 presents a good opportunity for traders.
Strategy: Buy
Target: Rs 1,900
Stop-Loss: Rs 1,800
Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
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