Samvat 2078 was off to a good start, with the benchmark indices gaining half a percent each on November 4, with a strong upmove in broader markets in the hour-long session. All sectors, barring metals, moved higher.
The BSE Sensex closed above the 60,000-mark, gaining nearly 300 points. The Nifty50 rallied 88 points to end above 17,900, while the Nifty midcap and smallcap indices gained 0.79 percent and 1.3 percent, respectively.
The stocks that were in focus during Muhurat trading included Larsen & Toubro, Barbeque Nation Hospitality and eClerx Services.
Larsen & Toubro hit a new high of Rs 1,920.85 before closing a percent higher at Rs 1,908.95. Barbeque Nation Hospitality, too, touched a new high of Rs 1,670 before settling at Rs 1,624.15, up 5.7 percent. eClerx Services gained 1.75 percent to close at Rs 2,383.70.
These stocks were also in focus the previous day when the Sensex fell 0.4 percent and Nifty50 corrected 0.3 percent. L&T was the biggest gainer that day with a 4.1 percent rally. Barbeque Nation gained 10.6 percent and eClerx Services was up 9.1 percent.
Here's what Shrikant Chouhan of Kotak Securities, recommends investors should do with these stocks when the market resumes trading today:
Larsen & Toubro
The stock rallied more than 5 percent on November 3. After a strong opening, the stock quickly surpassed Rs 1,850 resistance level with strong volume activity.
After the breakout, it maintained positive momentum throughout the day and succeeded to close above Rs 1,850, which is broadly positive for the infrastructure major.
On the short-term timeframe, the stock has formed promising higher high and higher low and the texture of the pattern suggests that the uptrend will continue in the near term.
For the trend following traders, Rs 1,840 and Rs 1,820 will be the key levels to watch out. Above these, we can expect the uptrend to continue to Rs 1,950-2,025.
Barbeque Nation Hospitality
On November 3, the stock registered a new all-time high of Rs 1,599.65. In this month so far, the stock rallied over 25 percent.
On daily charts, it has been consistently forming higher high and higher low series formation. It is also comfortably trading above 20-and-10-day simple moving averages, which is broadly positive.
Unless it slips below Rs 1,400, positional traders can retain an optimistic stance and look for a target of Rs 1,650-1,775. Fresh buying can be considered now and on dips, if any, between Rs 1,550 and Rs 1,450, with a stop loss below Rs 1,400.
On November 4, the stock opened with a gap of 10 percent and made a fresh all-time high of Rs 2,470 but again took resistance near Rs 2,400. The stock is witnessing non-directional activity perhaps, traders are waiting for either side breakout.
For the bulls, Rs 2,450 would be the important breakout level to watch. And if the stock manages to close above the same, we can expect a quick uptrend rally towards Rs 2,550-2,700. On the flip side, trading below Rs 2,225 may increase further weakness up to Rs 2,100-2,025.Disclaimer: The views and investment tips expressed by 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.