By Shrikant Chouhan
The marketplace continued to stay positive for the second day in a row. On Tuesday, when once again the benchmark index — Nifty/Sensex opened with a powerful gap and swiftly surpassed 14550/ 48600 mark, which is a quick term resistance level. The essential point is, the marketplace not only crossed the resistance mark but even traded above 14550/ 48600 levels which is grossly positive for the Nifty /Sensex. Modest broader marketplace participation and powerful functionality from Metal, PSU Banks and selective monetary stocks helped trades to retain a lengthy stance more than quick.
Technically, the Nifty has held a level of 14550/48600 which suggests bulls are in total manage and would like to take this ride towards 14750-14800/ 49300-49800 levels. Above 14550/ 48600 levels, we may well see a pullback rally to continue up to 14700-14750/49100-49300. There is a possibility of a additional upside that may well continue to push the index upwards, till 14800/49800. On the flip side, dismissal of 14550/ 48600 could open one more leg of correction up to 14485/ 48200 levels.
Havells India
Obtain, CMP: Rs 1,028.5, TARGET: Rs 1,080, SL: Rs 1,005
Post decline from the levels of 1231 the stock went into a variety-bound movement exactly where a powerful bullish activity is spotted close to the various help zone. Additionally, the formation of a bullish Marubozu candlestick pattern with a very good volume suggests a powerful up move in the counter.
Hero MotoCorp
Obtain, CMP: Rs 2,905.5, TARGET: Rs 3,050, SL: Rs 2,840
For the last two months, the stock has drifted downside right after hitting the double leading chart pattern at about 3620, and thereafter it entered into an accumulation phase close to its essential help location, ultimately, a powerful reversal candlestick formation indicates the resumption of a bullish uptrend in the coming horizon.
Bharat Petroleum Corporation Ltd (BPCL)
Obtain, CMP: Rs 420.35, TARGET: Rs 445, SL: Rs 410
The stock has developed a very good demand base at 400-410 levels, and the current formation of the Cup and Handle chart pattern on the every day time frame chart indicates bullish movement in the close to term is quite probably to persist.
State Bank of India (SBI)
Obtain, CMP: Rs 353.05, TARGET: Rs 370, SL: Rs 345
Post decline SBI formed a Rounding bottom chart pattern close to its essential retracement zone on the every day chart and the stock has reversed sharply by filling the bearish gap with a powerful bullish candle consequently uptrend is anticipated to continue in the close to term.
(Shrikant Chouhan is Executive Vice President (Equity Technical Research), Kotak Securities. Views expressed are the author’s personal.)