The benchmark indices closed slightly lower after volatility on November 14, but the overall market breadth improved a bit. A total of 1,324 shares gained, while 1,155 shares fell on the NSE. The consolidation may continue in the market, with a focus on the "sell on rally" strategy, considering the bearish sentiment. Below are some trading ideas for the near term:
Amol Athawale, VP Technical Research at Kotak Securities
Mphasis | CMP: Rs 2,839
Mphasis is in the accumulation zone, where it has been trading in a rangebound mode for the past few sessions. The chart formation and the Relative Strength Index (RSI) technical indicator suggest that the stock is likely to break out from the rectangle formation and initiate a new leg of the uptrend in the near term.
Strategy: Buy
Target: Rs 3,050
Stop-Loss: Rs 2,750
SBI Life Insurance Company | CMP: Rs 1,562
On the weekly scale, after a remarkable uptrend, SBI Life Insurance witnessed profit booking from higher levels. However, the stock closed near an important retracement zone and its short-term moving average suggests a bullish continuation. Therefore, the stock is likely to resume its uptrend in the coming horizon.
Strategy: Buy
Target: Rs 1,670
Stop-Loss: Rs 1,505
Axis Bank | CMP: Rs 1,140.7
On a daily timeframe, Axis Bank has been in a downtrend. Currently, it is in an oversold territory and is near its demand zone. The chart formation and RSI technical indicator suggest that the stock is likely to rebound and initiate a new leg of the uptrend from its demand zone.
Strategy: Buy
Target: Rs 1,220
Stop-Loss: Rs 1,105
Mandar Bhojane, Equity Research Analyst at Choice Broking
Zydus Wellness | CMP: Rs 1,960.6
Zydus Wellness appears to have successfully broken out of a descending trendline on the daily chart, supported by a notable increase in trading volume, indicating a potential shift toward a bullish trend. If the stock maintains its position above Rs 2,000, it could aim for short-term targets of Rs 2,200 and Rs 2,300. On the downside, immediate support is around Rs 1,870, aligned with the 200-day Exponential Moving Average (EMA), making it an attractive level for potential buying opportunities during pullbacks. The RSI currently stands at 52 and is trending upward, indicating increased buying momentum. To manage risk effectively, a stop-loss at Rs 1,800 is advised to protect against potential unexpected reversals.
Strategy: Buy
Target: Rs 2,200, Rs 2,300
Stop-Loss: Rs 1,800
Indian Hotels Company | CMP: Rs 741.35
Indian Hotels has broken out from a Double Bottom pattern on the daily chart, accompanied by a substantial increase in trading volume, indicating strong bullish momentum. If the stock sustains above Rs 742, it may target short-term levels of Rs 820 and Rs 840. On the downside, immediate support is at Rs 710, offering potential buying opportunities on pullbacks. The RSI is currently at 63.67 and trending upward, signaling increased buying strength. To manage risk effectively, a stop-loss at Rs 690 is recommended to protect against possible market reversals.
Strategy: Buy
Target: Rs 820, Rs 840
Stop-Loss: Rs 690
LTIMindtree | CMP: Rs 5,995
LTIMindtree is on the verge of a breakout from its daily range, with a notable increase in trading volume, signaling a potential bullish reversal. If the stock successfully closes above Rs 6,000, it could target short-term levels of Rs 6,400 and Rs 6,500. Additionally, LTIMindtree is trading above all key exponential moving averages (EMAs), reinforcing the bullish setup. On the downside, immediate support is observed at Rs 5,800, presenting potential buying opportunities on dips. The RSI is at 50.69 and trending upward, indicating strengthening buying momentum. For effective risk management, a stop-loss at Rs 5,700 is advisable to protect against unexpected market reversals.
Strategy: Buy
Target: Rs 6,400, Rs 6,500
Stop-Loss: Rs 5,700
Rajesh Bhosale, Technical Analyst at Angel One
Eicher Motors | CMP: Rs 4,884
During the last week, Eicher Motors found support at the crucial Rs 4,500 level, which has served as a strong base since July and now aligns with the 200-day Simple Moving Average (DSMA). On Thursday, the stock witnessed a robust rebound, forming the rare bullish reversal pattern known as a "Bullish Kicking." This formation suggests a significant overnight positive development, and the pattern, supported by strong volumes, bodes well for the bulls. We anticipate this positive momentum to continue. Hence, we recommend buying Eicher Motors around Rs 4,884 - Rs 4,850.
Strategy: Buy
Target: Rs 5,300
Stop-Loss: Rs 4,690
Kunal Kamble, Senior Technical Research Analyst at Bonanza
Zomato | CMP: Rs 270
Zomato has closed above its four-week high, indicating buyer dominance. A steady increase in volume suggests rising buyer interest. The stock is trading above both the fast 20 EMA and the fast 100 EMA, confirming an uptrend. The momentum indicator RSI is moving upward, supporting the positive price action. Additionally, the Directional Indicator (DI+) crossing above DI- signals a trend change to the upside. Based on this technical setup, a long position can be considered.
Strategy: Buy
Target: Rs 320, Rs 350
Stop-Loss: Rs 248
Aegis Logistics | CMP: Rs 805
Aegis Logistics, after a Flag pattern breakout followed by a throwback, has resumed an upward trend. The RSI, which had recently cooled off, is now moving upward, supporting the positive price action. On the volume front, low volume during the throwback and higher volume in the last three buying sessions suggest strong buying interest. Additionally, the price is trading above the Ichimoku Cloud, Base Line, Conversion Line, and Cloud, indicating a bullish trend in Aegis Logistics. Trading above both the 20 EMA and the slower 100 EMA further supports this bullish sentiment. Based on this technical setup, a long position can be initiated in Aegis Logistics.
Strategy: Buy
Target: Rs 920, Rs 980
Stop-Loss: Rs 740
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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