Trade Spotlight: How should you trade RBL Bank, Coromandel International, PI Industries, TD Power, HDFC AMC, Cochin Shipyard and others on July 31?

Top Buy Ideas for July 31

Equity benchmarks closed the range-bound session with marginal gains on July 30, with market breadth slightly favouring the bulls. A total of 1,355 shares advanced compared to 1,299 shares that were under pressure on the NSE. The consolidation is expected to continue as long as the frontline indices trade below the 50-day EMA. Below are some short-term trading ideas to consider:

Rupak De, Senior Technical Analyst at LKP Securities

RBL Bank | CMP: Rs 261.75

RBL Bank has moved higher after a brief correction, giving a consolidation breakout on the daily timeframe. It is sustaining above the critical 50 EMA, indicating an uptrend. The RSI has entered a bullish crossover. Based on the technical setup, we expect the uptrend to continue in the short term.

Strategy: Buy

Target: Rs 282

Stop-Loss: Rs 249

AstraZeneca Pharma | CMP: Rs 9,340

AstraZeneca Pharma has broken out after a consolidation phase on the daily timeframe, reflecting rising optimism. It is trading above the 50 EMA, confirming an uptrend. The RSI has entered a bullish crossover. As long as the stock holds above Rs 9,050, the momentum is expected to sustain.

Strategy: Buy

Target: Rs 9,340

Stop-Loss: Rs 9,050

Coromandel International | CMP: Rs 2,652.7

On the daily chart, Coromandel International has moved above its previous swing highs, signalling renewed optimism. It is sustaining above the 50 EMA, indicating a positive trend. The RSI is in a bullish crossover, suggesting strong momentum.

Strategy: Buy

Target: Rs 2,800

Stop-Loss: Rs 2,500

Sudeep Shah, Head - Technical and Derivatives Research at SBI Securities

PI Industries | CMP: Rs 4,324.7

PI Industries witnessed a consolidation breakout on Tuesday, followed by a strong upward move accompanied by robust volumes. It is currently trading above both its short-term and long-term moving averages, which are trending higher and aligned in the ideal sequence—indicating a strong bullish trend.

Additionally, the daily RSI is in bullish territory and continues to rise, further reinforcing the positive momentum. Hence, we recommend accumulating the stock in the Rs 4,330–4,310 zone.

Strategy: Buy

Target: Rs 4,600

Stop-Loss: Rs 4,180

TD Power Systems | CMP: Rs 516.2

TD Power Systems has recently demonstrated a strong technical setup by finding support in the Rs 460–450 zone—a region marked by the confluence of the 100-day EMA and the 61.8% Fibonacci retracement level, drawn from its prior upward rally spanning Rs 387 to Rs 552.75. This confluence zone acted as a critical support level, and the stock responded with a sharp rebound over the last two trading sessions.

The recovery was accompanied by a noticeable increase in trading volumes, which adds conviction to the strength and reliability of the reversal. Importantly, the stock has now moved decisively above its short-term moving averages. Further, the daily RSI has also surged past the 60 mark, entering bullish territory and indicating improving strength in the underlying trend. Hence, we recommend accumulating the stock in the Rs 520–515 zone.

Strategy: Buy

Target: Rs 560

Stop-Loss: Rs 498

HDFC Asset Management Company | CMP: Rs 5,670

HDFC AMC has been strongly outperforming the frontline indices over the last couple of trading sessions. The ratio chart of the stock compared to the Nifty index is at a 59-month high, which shows robust relative strength. As the stock is trading at an all-time high, all the moving averages and momentum-based indicators are suggesting strong bullish momentum.

The daily RSI is in a super bullish zone as per RSI range shift rules. The daily MACD stays bullish as it is quoting above its zero line and signal line. The trend strength indicator, ADX, is showing robust strength as it is quoting at 30 levels and rising. The directional parameter +DI is much above the -DI. Hence, we recommend accumulating the stock in the Rs 5,680–5,660 zone.

Strategy: Buy

Target: Rs 6,070

Stop-Loss: Rs 5,480

Riyank Arora, Technical Analyst at Mehta Equities

Cochin Shipyard | CMP: Rs 1,786.2

Cochin Shipyard has recently touched support at Rs 1,757, with major support at Rs 1,690. The Relative Strength Index (RSI 14) is at 34, indicating the stock is in oversold territory, signalling a potential reversal. The stock has shown resilience near key support levels, providing a good entry point for a possible upward move towards Rs 2,000. A stop-loss should be placed at Rs 1,690 to limit downside risk.

Strategy: Buy

Target: Rs 2,000

Stop-Loss: Rs 1,690

Titagarh Rail Systems | CMP: Rs 870

Titagarh Rail Systems touched support at Rs 830 and has formed a strong green candlestick, indicating a positive momentum shift. Major support is at Rs 820, with the RSI at 38, showing good signs of upward momentum. The stock is positioned for a potential move towards Rs 925, offering a favourable risk-to-reward entry.

Strategy: Buy

Target: Rs 925

Stop-Loss: Rs 820

Shankara Building Products | CMP: Rs 1,097

Shankara Building Products has broken above the key resistance of Rs 1,095, showing strong bullish momentum. The stock is holding above its key support at Rs 1,025, and the RSI at 63 indicates healthy momentum. With a positive breakout and continued strength in the trend, the stock is expected to move towards Rs 1,400.

Strategy: Buy

Target: Rs 1,400

Stop-Loss: Rs 1,025