On Thursday, Indian markets closed green for the sixth day. S&P BSE Sensex surged over 100 points and Nifty50 finished barely below 17600.
Public holidays closed the Indian market on Friday.
Technology, metals, FMCG, and consumer durables sold while real estate, auto, oil & gas, and healthcare bought.
Cholamandalam Investment, Dr. Reddy’s Laboratories, and HCL Technologies were in spotlight on Thursday.
As the market opens today, Amol Athawale, Deputy Vice President – Technical Research, Kotak Securities Ltd. recommends these stocks:
Cholamandalam Investing & Finance: Sell rally
The stock hit 847.05. The stock rose 10% in a week. The stock’s daily and weekly charts show a range breakout.
A lengthy bullish candle is also encouraging. We believe equities will find support at 810-800 and profit booking between 860-880.
Short-term market structure is optimistic, but overbought conditions may cause profit booking at higher levels.
Trend-followers should purchase falls and sell rallies. The upswing is susceptible below 800.
Dr. Reddy’s: Purchase
After a medium-term decline, the stock rebounded quickly at the 200-Day SMA or 4350.
Post-reversal, the stock has risen over 8%. The stock is comfortably trading above short-term averages and produced a range breakout on weekly charts, indicating a probable advance.
Breakout traders should support 4650 and 4600. The uptrend wave will likely continue if the stock trades above the same.
The stock might reach 4800–4835 over this. Below 4600, traders may exit long holdings.
The stock reversed significantly after a short-term drop. After reversing, the stock is consolidating at 20 and 50-Day SMA levels.
Short-term chart texture predicts a new rising surge from current levels.
Positional traders should support 1065 currently. If the stock trades over that, it might reach 1135. Additional rise may bring the stock to 1150.