“Technically, the impeccable move in the entire week has placed our market above all the major exponential moving averages on the daily time frame. Though from the past two consecutive sessions, the index is showcasing some lackluster moves that might attract some profit booking in the near period. However, the undertone is set in favor of the bulls, and any minor correction could be seen as an opportunity to go long in the index. As far as levels are concerned, the previous swing high of 16800 odd zone is expected to act as an immediate hurdle for the index. On the contrary, the recent unfilled gap of 16360-16490 is expected to provide a cushion for any minor correction,” said Osho Kishan, Sr. Analyst – Technical & Derivative Research, Angel One Ltd.
“Looking at the momentum certainly portrays the urge of the bulls of D-Street while favorable conditions. However, significant traction is seen outside the indices; hence it is advisable to keep Identifying apt themes and potential movers within the same, which are likely to provide better trading opportunities. Meanwhile, staying abreast with the global market is advisable,” he added.
Looking for stock ideas for your short-term portfolio? Here are the top 5 technical stock picks Osho Kishan is betting on
1) UPL
Buy: Rs 715-720
Target: Rs 770
Stop Loss: Rs 695
UPL has seen a volume-based breakout in the last couple of trading sessions and has gained strong momentum. On the oscillator front, the MACD has witnessed a positive crossover and tends to move higher in the near period. Even on the daily chart, the stock has surpassed the 21 and 50 DEMA with a strong gesture of gap up, indicating inherent strength.
2) Bata India
Buy: Rs 1830-1840
Target: Rs 1900-1920
Stop Loss: Rs 1780
Bata has been in a consolidation range for the past couple of trading weeks and recently has witnessed a positive crossover of the 21 & 50 DEMA supporting the positive gesture in the counter. Also, in the past few session, the stock has been attracting some volumes that indicate the initial sign of the breakout trend in the counter.
UPL, Bata among 5 technical stock picks to bet on
“Nifty has a strong support at 16360-16490 and the 16800 mark is likely to act as the sturdy wall for the bulls,” says Osho Krishan, Senior Analyst – Technical & Derivative Research, Angel One Ltd.
3)ICICI Prudential Life
Buy: Rs 520
Target: Rs 545-550
Stop Loss: Rs 505
is trading in a ‘Flag and pennant’ pattern on the daily chart and is hovering just below the 200 DEMA, surpassing which strong traction is expected in the counter. Even from the past few trading sessions, the stock has formed a strong base near 500-510 odd levels and has also witnessed a positive crossover of the exponential moving averages, indicating a bullish sign on the counter.
4) DMART
Buy: Rs 3980-4000
Target: Rs 4200-4240
Stop Loss: Rs 3880
DMART is trading in a consolidation zone post a strong rally from the lows of 3400 odd levels. Also, the stock has formed a double bottom pattern on the daily chart that construes a bullish signal on the counter. The stock is placed above all the major exponential moving averages on the daily chart, adding to the bullish quotient on the counter.
5) DVR
Buy: Rs 220-224
Target: Rs 234-236
Stop Loss: Rs 214
Tata Motors DVR has seen strong traction from the past couple of trading weeks that soared it above all its major exponential moving averages on the daily chart. The stock has witnessed a re-test to its ‘Flag & Pennant’ pattern breakout, which was seen last week, and provides an opportunity to accumulate the counter. Also, from the risk-reward point of view, the stock is placed at a lucrative level and is expected to carry momentum in the near term.
(Disclaimer: Recommendations, suggestions, views, and opinions given by the experts are their own. These do not represent the views of Economic Times)
