By Shrikant Chouhan
On last Tuesday, the benchmark indices closed higher. Among sectors, buying was seen in auto, FMCG and healthcare stocks whereas banking and financial stocks witnessed intraday profit booking at higher levels. Technically, after an early morning intraday rally, the index took the resistance near 19,500 and reversed, yet once again.
Hindalco
BUY | CMP: Rs 424.3 | TARGET: Rs 445 | SL: Rs 415
For the past few weeks, Hindalco has been into a range bound mode with a higher low series formation. Meanwhile, on the daily scale, it has formed an ascending triangle chart pattern. The structure indicates breakout from the current levels and the beginning of a new up move in the counter.
TVS Motors
BUY | CMP: Rs 1346.3 | TARGET: Rs 1410 | SL: Rs 1320
On the daily charts, TVS motors has given a breakout of the Symmetrical triangle chart pattern along with decent volume activity. The structure suggests that TVS motors has enough potential for further upside from the current levels.
Grasim Industries
BUY | CMP: Rs 1766.6 | TARGET: Rs 1860 | SL: Rs 1730
After hitting the recent highs of around 1800, Grasim witnessed selloff and dropped to the lower side. However, it has found support near the important retracement zone. As a result, the bullish trend is very likely to continue for further up move in the near term.
Larsen & Toubro
BUY | CMP: Rs 2478.35 | TARGET: Rs 2600 | SL: Rs 2430
After the robust rally from the lower levels, L&T took a breather for a few sessions with a gradual down move. However, the formation of a bullish Marubozu candlestick pattern with a good volume suggests a likely strong up move in the counter in the coming horizon.
(Shrikant chouhan, head of equity research (retail), kotak securities limited. Views expressed are the author’s own. Please consult your financial advisor before investing.)