The market extended its upward journey for another session and hit a fresh closing high with an eight-tenth of a percent gain on September 26, despite market breadth favouring the bears. On the NSE, around 1,460 shares declined, while 1,025 shares advanced. A further northward journey is likely to be seen in the Nifty 50, though it may be accompanied by consolidation. Below are some trading ideas for the near term:
Amol Athawale, VP-Technical Research at Kotak Securities
Jindal Steel & Power | CMP: Rs 1,028
On the daily chart, following the recent upward move, Jindal Steel is trading in a sideways range, forming a Flag chart pattern above its short-term moving averages. The stock is displaying a bullish continuation chart structure, indicating a new leg of the uptrend is likely to resume from current levels in the near future.
Strategy: Buy
Target: Rs 1,100
Stop-Loss: Rs 990
SBI Cards and Payment Services | CMP: Rs 781
After a recent selloff from higher levels, the downward momentum in SBI Card has halted. On the daily chart, the stock has found support and reversed its trend from an important retracement zone, with rising volume activity. This formation suggests a revival of the uptrend from the current levels.
Strategy: Buy
Target: Rs 840
Stop-Loss: Rs 750
Union Bank of India | CMP: Rs 127
After a short-term price correction, Union Bank has formed a double bottom chart pattern on the weekly scale. The bullish activity near the support zone indicates that the stock has limited downside, making it a favourable candidate with regard to risk and reward. The chart's texture suggests a fresh upward rally in the near term.
Strategy: Buy
Target: Rs 137
Stop-Loss: Rs 121
Chandan Taparia, Head - Equity Derivatives & Technicals, Wealth Management at Motilal Oswal Financial Services
Bajaj Finserv | CMP: Rs 1,983
A Pole and Flag pattern with a breakout has appeared on the daily chart, accompanied by high buying volumes supporting the upward move in Bajaj Finserv. The MACD (Moving Average Convergence Divergence) indicator is giving a bullish crossover, which suggests further upward momentum.
Strategy: Buy
Target: Rs 2,095
Stop-Loss: Rs 1,925
Samvardhana Motherson International | CMP: Rs 213
Samvardhana Motherson International has retested its breakout on the daily chart and moved higher, with buying interest visible across the auto sector, supporting the ongoing bull run. The RSI (Relative Strength Index) indicator is rising, which confirms the upward momentum.
Strategy: Buy
Target: Rs 227
Stop-Loss: Rs 205
Hindalco Industries | CMP: Rs 735
Hindalco has broken out of a long consolidation zone on the upside, with higher-than-average buying volumes supporting the move. The ADX (Average Directional Index) line has turned upward, suggesting that the upward trend has strength.
Strategy: Buy
Target: Rs 774
Stop-Loss: Rs 715
Virat Jagad, Technical Research Analyst at Bonanza
Eicher Motors | CMP: Rs 4,994
Eicher Motors has broken out of a symmetrical triangle pattern on the daily chart, signaling a potential uptrend. The sharp increase in trading volume indicates strong buying interest, supporting a bullish outlook. The stock is trading above key EMAs (Exponential Moving Averages), adding to the positive momentum. The RSI is also trending higher, confirming the bullish trend. The stock may face resistance around Rs 5,025, and if it breaks above this level, it could rise further towards Rs 5,550. On the downside, immediate support is at Rs 4,750.
Strategy: Buy
Target: Rs 5,550
Stop-Loss: Rs 4,750
Oberoi Realty | CMP: Rs 1,953
Oberoi Realty has broken out of a Rounding Bottom pattern on the daily chart, a strong bullish signal that suggests the potential for continued price gains. The rise in trading volume during the last session shows growing buying interest, reinforcing the positive outlook. The stock is trading above key EMAs, aligning with the bullish trend. The DMI+ (Directional Movement Index) has crossed above the DMI-, indicating a favourable trend shift, while the ADX is moving upward, signaling a strengthening trend. Overall, these indicators point to a bullish scenario with the potential for further gains in the near term.
Strategy: Buy
Target: Rs 2,150
Stop-Loss: Rs 1,850
One 97 Communications | CMP: Rs 705
The daily chart of Paytm shows a confirmed breakout from a Flag pattern, a strong bullish signal. This breakout is accompanied by increased trading volume, highlighting strong buying interest. The stock is trading near recent highs, with both fast and slow EMAs moving upward, indicating positive market sentiment. The RSI also broke out bullishly, confirming the strength of the uptrend. The DMI+ is above the DMI-, and the ADX is over 25, signaling strong upward momentum. Overall, these indicators suggest a bullish outlook for One 97 Communications Ltd with the potential for further gains.
Strategy: Buy
Target: Rs 800
Stop-Loss: Rs 660
Mandar Bhojane, Equity Research Analyst at Choice Broking
UltraTech Cement | CMP: Rs 12,060
UltraTech Cement has recently broken out of a rounding bottom pattern on the daily chart, accompanied by a significant increase in trading volume. This breakout indicates a strong bullish trend. If the price manages to close above the Rs 12,070 level, it could potentially reach short-term targets of Rs 12,800 and Rs 13,000. On the downside, immediate support is located at Rs 11,750, which could offer buying opportunities on dips. The RSI currently stands at 61.24 and is trending upward, signaling growing buying momentum. To manage risk effectively, a stop-loss (SL) at Rs 11,600 is recommended to protect against any unexpected market reversals.
Strategy: Buy
Target: Rs 12,800, Rs 13,000
Stop-Loss: Rs 11,600
Man Infraconstruction | CMP: Rs 198
Man Infraconstruction has possibly broken out of a symmetrical triangle pattern on the daily chart, supported by a notable increase in trading volume. This breakout suggests a potential bullish reversal. If the stock manages to close above the Rs 200 level, it could target short-term levels of Rs 240 and Rs 260. On the downside, immediate support is seen at Rs 185, which may offer buying opportunities on dips. The RSI is currently at 59.56 and trending upward, indicating growing buying momentum. To manage risk effectively, a stop-loss at Rs 180 is recommended to protect against any unexpected market reversals.
Strategy: Buy
Target: Rs 240, Rs 260
Stop-Loss: Rs 180
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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