The benchmark indices closed nearly a percent higher after a strong recovery in the later part of the session on November 5, with favourable market breadth. About 1,618 shares gained, against 866 falling shares on the NSE. The trend is likely to be in favour of bulls, but the index needs to hold above all key moving averages for a sustainable rally. Below are some trading ideas for the near term:
Ashish Kyal, CMT, Founder and CEO at Waves Strategy Advisors
Kirloskar Brothers | CMP: Rs 2,044.5
Kirloskar Brothers gained nearly 6 percent in the previous session with a rise in volume, suggesting increasing bullishness. The KST (Know Sure Thing) indicator is trading above the zero line after a crossover, indicating good momentum to continue. Along with this, prices showed a strong rise after giving a breakout of the channel, which is a bullish signal. The Parabolic SAR dotted line has continued to form below the price, acting as double confirmation for our stance. In short, the current trend for Kirloskar Brothers is positive. A break above Rs 2,075 can lift the price higher towards Rs 2,140, followed by Rs 2,220, as long as Rs 2,000 holds on the downside.
Strategy: Buy
Target: Rs 2,140, Rs 2,220
Stop-Loss: Rs 2,000
NMDC | CMP: Rs 234.7
NMDC gained 3.6 percent in the previous session with a rise in volume, which is a positive sign. On the daily chart, prices are trading near an important resistance level. A decisive break above Rs 238 can lead to a fresh rise in the stock. Currently, prices are trading near the upper Bollinger Bands; a breakout from this range can result in fresh buying. Additionally, the RSI (Relative Strength Index) is at 57, leaving room for further upward movement. In short, the current trend for NMDC is bullish. A decisive break above Rs 238 can lift prices toward Rs 246, followed by Rs 260, as long as Rs 228 holds on the downside.
Strategy: Buy
Target: Rs 246, 260
Stop-Loss: Rs 228
Pudumjee Paper Products | CMP: Rs 135.92
Pudumjee Paper Products showed a sharp rally of 8.5 percent in the previous session. The stock has been moving in a rectangular range for the past few days, indicating accumulation. A daily close above Rs 136.50 will confirm a 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 trend for Pudumjee Paper Products is positive. Use dips toward Rs 134-135 as a buying opportunity, targeting Rs 143-145, as long as Rs 129 holds on the downside.
Strategy: Buy
Target: Rs 143, Rs 145
Stop-Loss: Rs 129
Om Mehra, Technical Analyst at Samco Securities
SRF | CMP: Rs 2,299
SRF appears to be gearing up for a potential recovery after a recent downtrend. The stock has established a strong support level at Rs 2,240, which has held well over the past few sessions. This base could serve as a launching point for an upward movement. Should SRF break and sustain above the crucial Rs 2,300 mark, it could signal a bullish reversal with potential targets in the range of Rs 2,350 to Rs 2,400. The stock is holding above the 10- and 20-day moving averages, and a bullish crossover above these averages could further fuel the upward momentum. Additionally, the recent spike in volume suggests growing interest from buyers, strengthening the bullish outlook. The RSI is hovering around the 50 level, signaling a neutral position, which leaves room for further upside. Based on this technical structure, one can initiate a long position at the current market price (CMP) for a target of Rs 2,390.
Strategy: Buy
Target: Rs 2,390
Stop-Loss: Rs 2,210
Hindustan Copper | CMP: Rs 298.55
Hindustan Copper has consolidated after a significant correction, forming a strong base around Rs 290. The daily RSI stands at 45, while a Bullish Engulfing candle formation adds further strength to the stock’s recovery potential. The stock is trading above the 10 DMA with elevated delivery volumes in the past two sessions, highlighting increased investor interest and potential accumulation at current levels, reinforcing the positive outlook. Based on this technical structure, one can initiate a long position at CMP for a target price of Rs 325.
Strategy: Buy
Target: Rs 325
Stop-Loss: Rs 285
Caplin Point Laboratories | CMP: Rs 2,021.7
Caplin Point Laboratories has shown notable upward momentum. The stock bounced strongly from its previous support level and now has a solid base around Rs 1,950. Caplin Point could see further gains if it breaks out of its recent downward trendline resistance. Additionally, the stock is trading comfortably above the 20-day, 50-day, and 100-day moving averages, highlighting a bullish outlook and indicating underlying strength in the trend. A recent increase in volume, along with the RSI hovering around 58, suggests there is still room for further upward movement. Based on the above technical structure, one can initiate a long position at CMP for a target price of Rs 2,340.
Strategy: Buy
Target: Rs 2,340
Stop-Loss: Rs 1,930
Riyank Arora, Technical Analyst at Mehta Equities
Hindalco Industries | CMP: Rs 697.55
Hindalco has formed a robust bullish candlestick at its key trendline support level, signaling a potential reversal from lower price points. With the RSI (14) currently around 47, showing a notable uptick, we anticipate the stock will move higher toward its immediate resistance of Rs 725 and beyond. To effectively manage risk, it is advisable to maintain a strict stop-loss at Rs 675.
Strategy: Buy
Target: Rs 725
Stop-Loss: Rs 675
IndusInd Bank | CMP: Rs 1,090
IndusInd Bank has successfully broken out of a narrow consolidation range above the resistance level of Rs 1,084.65, closing strongly above this threshold. With a significant increase in trading volume and an RSI (14) at around 26, indicating oversold conditions, we foresee potential short covering that could drive the stock towards upside targets of Rs 1,175 and higher. A strict stop-loss of Rs 1,050 is recommended to manage risk effectively.
Strategy: Buy
Target: Rs 1,175
Stop-Loss: Rs 1,050
SAIL | CMP: Rs 118.53
SAIL has approached its major anchor VWAP (Volume Weighted Average Price) support level at Rs 114.11 and is showing signs of a reversal from these crucial support zones. With the RSI (14) at approximately 42.31, indicating an uptick from lower levels on the daily charts, we believe the stock is poised to target Rs 127.50 and beyond. A strict stop-loss of Rs 114 should be maintained to manage risk appropriately.
Strategy: Buy
Target: Rs 127.50
Stop-Loss: Rs 114
ABB India | CMP: Rs 7,132.85
ABB has reached its significant support level at Rs 6,982.40 and has seen strong buying interest at these lower prices. The current buying on dips suggests a reversal is underway, and the risk-reward ratio appears highly favourable for buyers. A stop-loss of Rs 6,935 is recommended, with potential upside targets set at Rs 7,500 and beyond. The RSI at 30 indicates that the stock is in oversold territory.
Strategy: Buy
Target: Rs 7,500
Stop-Loss: Rs 6,935
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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