The market sustained uptrend for third consecutive session after recent correction, but sustainability of this upward journey is key to watch out for in the coming sessions. Hence, if the index manages to sustain the psychological 22,000 mark, then 22,200-22,300 is the possible resistance area, but the decisive breaking of 22,000-21,950 zone can bring the index down to 21,700 again, experts said.
On March 22, the Nifty 50 rose 85 points to 22,097 and the BSE Sensex rose 191 points to 72,832, while the Nifty Midcap 100 and Smallcap 100 indices outperformed benchmarks, rising six-tenth of a percent each.
Moneycontrol selected three largecaps that performed far better than benchmark indices, which include Hero MotoCorp, Indus Towers, and ABB India. Hero MotoCorp rallied 3.6 percent to Rs 4,684 and formed long bullish candlestick pattern on the daily charts with above average volumes after the breakout of downward sloping resistance trendline. The stock climbed back above all key moving averages.
Indus Towers was the biggest gainer in the F&O space on last Friday, rising 8.4 percent to Rs 271, the highest closing level since January 17, 2022 and formed robust bullish candlestick pattern on the daily timeframe with above average volumes, after recent consolidation. The stock traded above all key moving averages, which is a positive sign.
ABB India rose 1.75 percent to end at record closing high of Rs 5,967 and formed bullish candlestick pattern with above average volumes, continuing uptrend for third consecutive session. The stock traded well above all key moving averages.
Here's what Rajesh Palviya of Axis Securities recommends investors should do with these stocks when the market resumes trading on Tuesday:
On the weekly chart, the stock is in strong uptrend forming a series of higher tops and bottoms indicating sustained uptrend. On the weekly chart, the stock has witnessed "multiple resistance" breakout at Rs 235 levels along with huge volumes indicating increased participation in the rally.
It has also confirmed "rounding bottom" formation on a closing basis indicating positive bias. With past couple of weeks' price correction the stock has recaptured its 20- and 50-day SMA (simple moving average) and rebounded sharply.
The daily, weekly and monthly strength indicator RSI (relative strength index) is in positive terrain, which shows sustained strength. The stock is well placed above its 20-, 50-, 100- and 200-day SMA and these averages are also inching up along with rising prices, which reconfirms bullish trend.
Investors should buy, hold and accumulate this stock with an expected upside of Rs 300-335, with downside support zone of Rs 250-230 levels.
The stock is in strong uptrend across all the time frames forming a series of higher tops and bottoms. The stock has also registered an all-time high at Rs 6,034 levels indicating bullish sentiments. The stock is well placed above its 20-, 50-, 100- and 200-day SMA and these averages are inching up along with rising prices which reconfirms bullish trend.
The daily, weekly and monthly strength indicator RSI is in positive terrain which shows sustained strength. Huge volumes on this rally signify sustained participation.
Investors should buy, hold and accumulate this stock with an expected upside of Rs 6,130-6,350 with downside support zone of Rs 5,800-5,600 levels.
On the daily/short term time frame, the stock is consolidating within Rs 4,000-4,300 levels indicating short term breather in its recent uptrend. However, the medium- and long-term trend is still bullish.
On the monthly time frame, the stock has confirmed "Rounding Bottom" formation breakout at Rs 4,130 levels and sustaining above the same indicating positive bias.
An immediate short term support at around Rs 4,400-4,370 levels and any violation of the same may cause minor corrections, which remains as buying and accumulation opportunity for investors.
The monthly and quarterly strength indicator RSI is in positive terrain which shows sustained strength on long term charts.
Investors should buy, hold and accumulate this stock with an expected upside of Rs 5,100-5,500 with downside support zone of Rs 4,400-4,200 levels.
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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