Chandan Taparia: Balrampur Chini, Cyient, NFL among top 6 stocks that could see 5-15% upmove in 3-4 weeks: Chandan Taparia

In an interview with ETMarkets,

, said: “We are not expecting much from Santa rally but Santa may come to support the market at lower zones with buy on decline stance” Edited excerpts:

Bulls failed to remain in control of D-St and closed lower for the week ended 16 December. Is it just the recession worries or profit booking which led to the price action?

We don’t think that market is much worried about a recession. It had seen a good run-up of more than 2000 points from 16747 to 18887 levels in the last 11 weeks, so a recent decline of 600 points from higher zones is just part of profit booking which is just one-third of the entire upswing.

This profit booking is mainly due to the outcome of the US FED meeting, depreciation in USDINR, and weakness in the DJIA and Nasdaq index.

We are approaching Christmas in the coming week. Would we see a Santa rally?

We are heading towards the year-end while on a year-to-date (YTD) basis, the Nifty50 is up by around 5%.

However, the index has not given much upmove compared to the previous year’s close, but the good part is that during the year, a decent recovery was seen from lower levels of 15183 to 18887 zones.

It is a buy-on-dip market where follow-up could be missing or the pace of buying will be less but a major dip could be bought.

To conclude, we are expecting the recent dip to get stability with support near to 18088 zones to drive the up move towards 18881 zones by the mid of Jan 2023.

We are not expecting much from the Santa rally but Santa may come to support the market at lower zones with buy-on decline stance.

What should investors/traders watch out for in the coming week? Any important triggers?

India VIX which was gradually falling down in the last 9-10 weeks, has taken stability and spiked by 6-8% from lower zones to 14 levels.

Need to watch it along with USD INR, CBOE VIX, and DJIA.

Key economic events like Monetary policy meetings, Foreign Exchange reserves and Government Budget values data need to keep on the radar for a key market trigger.

Important levels which one should track in the coming week for Nifty and Nifty Bank?

The Nifty50 had rallied from 16747 to 18887 in the last 11 weeks and now 38.20% retracement of the entire move comes near to the 18080 zone which is going to be key support zones, while on the upside hurdles are places at 18442 then 18650 zones.

Bank Nifty closed negative on weekly basis after the consecutive positive streak of the last ten weeks. It formed a Shooting Star candle at lifetime highs, however even after some decline major trend is positive and key support exists at 42500 while hurdles are at 43750 and then 44150 zones.

Consumer durables, FMCG stocks took a hit – what led to the price action?

Major trend of the FMCG index is positive but due to weakness in the overall market, this index corrected by 2%. Selective FMCG stocks could see buying on the decline including

and .

Consumer Durables stocks have seen long liquidation in absence of follow-up buying triggers.

5 stocks that rose more than 50% in a week include names like , Central , , Punjab & , and . What led to the price action, and should investors buy more at current levels or book profits?

Most of these Mid Cap Banks, Selective Sugar and Fertiliser stocks (FACT, NFL) have seen good momentum.

The major trend of these stocks are positive but as a money management skill and looking at overall market behaviour, it is advisable to book some profit to buy these stocks on the decline to ride the overall positive stance.

Any 3-5 trading ideas for the next 3-4 weeks?

Balrampur Chini,

, NFL, Aegischem, Raymond, and Linde India are a few stocks to see a 5 to 15% move.

(Disclaimer: Recommendations, suggestions, views, and opinions given by the experts are their own. These do not represent the views of Economic Times)