The benchmark indices bounced back after sharp selling in the past four sessions, with the Nifty climbing four-tenths of a percent on January 14 with positive market breadth. About 1,960 shares saw an uptrend compared to 568 shares that were falling on the NSE. The market is expected to consolidate until it gets back above all key moving averages. Below are some trading ideas for the near term:
Amol Athawale, VP-technical Research at Kotak Securities
National Aluminium Company | CMP: Rs 199.51
After the sharp decline in NALCO from higher levels, the downward momentum has stopped. On the weekly charts, the counter is available near its long-term moving average and, moreover, it has found support near its rising trend line. The formation suggests a revival of the uptrend from the current levels in the near term.
Strategy: Buy
Target: Rs 215
Stop-Loss: Rs 191
Punjab National Bank | CMP: Rs 98.41
Post its short-term price correction, PNB is available near its multiple support zones. The decent volume activity near the support zone indicates that the downside is restricted. Therefore, the stock is expected to rebound and witness bullish momentum from the current levels with a favourable risk and reward perspective.
Strategy: Buy
Target: Rs 107
Stop-Loss: Rs 94
Escorts Kubota | CMP: Rs 3,439
Escorts Kubota has given a breakout of its symmetrical triangle chart pattern with a strong bullish candlestick. Additionally, on the daily charts, it has formed a higher bottom formation; therefore, the structure of the counter indicates further bullish momentum from the current levels. Unless it is trading below Rs 3,320, positional traders can retain an optimistic stance and look for a target of Rs 3,680.
Strategy: Buy
Target: Rs 3,680
Stop-Loss: Rs 3,320
Ashish Kyal, CMT, Founder and CEO of Waves Strategy Advisors
Univastu India | CMP: Rs 327.95
On the daily chart, Univastu has been trading within an upward sloping channel since August 2024. Recently, prices took support at the base line (red line) of the Ichimoku cloud indicator and saw a sharp bounce on the upside. Since then, it has gained more than 23% in just two trading sessions despite major indices falling, which is a strong bullish sign. For now, a move towards the channel resistance is expected, which is near Rs 350 levels. In summary, the current trend for Univastu is positive. Use a buy-on-dips strategy for better risk-reward with targets of Rs 350 followed by Rs 365 levels. On the downside, Rs 315 is the nearest support.
Strategy: Buy
Target: Rs 350, Rs 365
Stop-Loss: Rs 315
BSE | CMP: Rs 5,448.85
In the previous session, BSE witnessed a gap-up opening with a rise in volume and managed to close above the mid bands, which is a strong bullish sign. For now, a journey towards the upper Bollinger bands is anticipated, which is near Rs 5,800 levels.
On the daily chart, BSE took support at the upward sloping trendline, which was also near the lower Bollinger bands, and then a sharp reversal on the upside was seen. Also, prices have consecutively for two trading sessions protected their prior day’s low, which is a positive sign. Follow-up buying can further accelerate positive momentum in the stock.
In summary, the current trend for BSE looks to be on the positive side. A break above Rs 5,500 can lift the prices towards levels of Rs 5,750 followed by Rs 5,950. On the downside, Rs 5,270 is the nearest support to look out for.
Strategy: Buy
Target: Rs 5,750, Rs 5,950
Stop-Loss: Rs 5,270
Minda Corporation | CMP: Rs 541.95
In the previous session, Minda Corporation closed on a positive note with a gain of 6.6%. The stock has been trading within a rectangular range since October 2024, suggesting accumulation in the stock. Currently, the stock is trading near resistance, i.e., near Rs 552 levels. A break above Rs 552 can suggest a breakout from the said pattern, which can result in a fresh rise in this stock. Also, MACD (Moving Average Convergence Divergence) has recently given a bullish crossover and is trading above the zero line, suggesting the likelihood of a continued uptrend.
In summary, the current trend for the stock is bullish. A break above Rs 552 can further intensify buying in the stock and lift prices higher towards Rs 575 followed by Rs 600 levels. On the downside, Rs 530 is the nearest support.
Strategy: Buy
Target: Rs 575, Rs 600
Stop-Loss: Rs 530
Om Mehra, Technical Analyst at Samco Securities
Concord Biotech | CMP: Rs 2,327.4
Concord Biotech is demonstrating significant strength after breaking out above the Rs 2,300 level. This breakout marks the end of a prolonged consolidation phase, indicating bullish momentum in the stock. With increased volumes supporting the move, the stock now shows the potential to inch higher. On the downside, the Rs 2,230 level would act as a strong support zone, where buyers may re-enter in case of a pullback. The stock’s ability to maintain its position above the 200-day moving average further reinforces its positive structure. Hence, based on the above technical structure, one can initiate a long position at CMP (current market price).
Strategy: Buy
Target: Rs 2,520
Stop-Loss: Rs 2,210
Biocon | CMP: Rs 387.65
Biocon has shown strong momentum and closed above the previous resistance of Rs 385. The stock trades above the 20 and 50 DMAs, reflecting sustained bullish momentum. The weekly trend also remains positive. A breakout above the Rs 391 level could extend the rally further on the higher side. Additionally, the stock is forming a Cup and Handle pattern, which enhances the bullish outlook. Hence, based on the above technical structure, one can initiate a long position at CMP.
Strategy: Buy
Target: Rs 430
Stop-Loss: Rs 368
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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