Indian market closed lower for the second consecutive day in a row on Tuesday. Nifty50 failed to hold on to 15,800 levels while the S&P BSE Sensex fell by about 200 points.
Sectorally, buying interest was visible in healthcare, FMCG, and utilities while selling pressure was seen in metals, oil & gas, telecom, banks, and auto stocks.
Stocks that were in focus include Sequent Scientific that rallied by over 10 percent, Titagarh Wagons (over 6 percent), and Tata Tele (5 percent). All the stocks hit a fresh 52-week high on Tuesday.
Here's what Mazhar Mohammad, Chief Strategist – Technical Research & Trading Advisory, Chartviewindia.in, recommends investors should do with these stocks when the market resumes trading today:
This counter appears to have embarked on a fresh leg of upswing as it registered a consolidation breakout by erasing the corrective downswing of the past 8 weeks in just two trading sessions.
Moreover, in the last 20 weeks, this counter chalked out an ascending channel, and interestingly the current leg of the upswing unleashed after testing the demand line of the said channel.
Hence, as long as this counter sustains above Rs 291 levels, it can initially head towards the upper boundary of the said channel whose value is placed around Rs 370.
Therefore, positional traders are advised to hold this counter for a target of Rs 365 by placing a stop below Rs 290. Fresh buying can also be considered on a dip, if any, into the zone of Rs 308 – 300.
This counter seems to be in a medium-term uptrend after prolonged underperformance with a fall from the high of Rs 190, registered in the year 2017, to a low of Rs 20 in March 2020 which is indicated by the fact that it is trading way above its critical resistance of Rs 62 on long term charts.
Hence, as long as it sustains above the said levels of Rs 62, we expect this stock to head towards Rs 87 levels. Therefore, positional traders can continue to hold and even fresh buying can also be considered on dip between Rs 72 - 67 by placing a stop below Rs 65 on a closing basis and look for a target of Rs 87.
This counter may be in a bull market after being in a 12-year bear market as it was down from the highs of Rs 57, registered in the year 2008, to a low of Rs 2 hit on March 2020.
After this massive underperformance, it turned out to be a multibagger as it multiplied itself by 20 times from the bear market low of Rs 2.
As this scrip witnessed a vertical up move from the lows of Rs 12, corrections if any, can also be sharp. However, on the downside, Rs 35 seems to be the near-term support and on correction, fresh longs can be initiated towards that level.
Meanwhile, those fortunate few who managed to enter this counter at lower levels can continue to hold for the test of lifetime highs present around Rs 57 by placing a stop below Rs 35 on a closing basis.Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are his own and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.