Stocks that were in focus included names like Samvardhan Motherson, which tumbled 0.11%, Keynes Technology, which jumped 4% and HAL, whose shares rose nearly 3% on Tuesday.
Viral Kheda, Senior Technical Analyst at SSJ Finance & Securities, recommends what investors should do with these stocks when the market resumes trading today.
Vardhan Motherson
After making a low around 107 in March 2024, the price has made a sharp reversal to make an all-time high of 208. The price has recovered nearly 95% from its lows as buyers piled on the bears. The price is currently trading in a wide range of 169-207 odd levels after making July highs.
As the stock is currently trading above its 20 DMA and 50 DMA of 189.6 and 193 we can see some sharp upside move and breach of its previous highs to make new highs. On the downside it has support between 169-158. The stock looks good for the long term and can be bought in every dip.
So one can buy at current level with stop loss of 155 on weekly close and further dips of 175 and see upside to 265-330 in 10-12 months.
Keynes Tech
After making multiple lows around 2450 in May 2024, the price has given a sharp reversal to make an all-time high of 5380. The price has recovered nearly 120% from its lows as buyers piled on the bears.
A higher top higher bottom pattern was also formed during this rally. The stock is currently overvalued and may see some downside from here. On the downside it has support between 4400-4100. Looks good for long term stock but we should wait for some slowdown to make new entries. The Stochastics Oscillator is trending downwards indicating more pain from here.
Hence weekly close on a dip of 4450 and further a dip of 4250 with a stop loss of 4000 can be bought and an upside of 5500-6000 can be seen in the next 10-12 months.
HAL
After making a low around 2905 in March 2024, the price has witnessed a bull run to make an all-time high of 5659. The price has recovered almost 95% from its lows because the bulls had complete control over the price. The higher price gave a slight correction as it retraced around 42% of the previous rally to make a low around the 4468 odd level.
Over the past one month the price has moved in the range of 4467-4900 and today on high volume price has breached the consolidation phase and by moving around that level we can see further upside from here.
The Stochastics Oscillator is moving in an upward trend with an increase in volume indicating further upside movement with limited downside risk. Hence one can buy on weekly close basis with stop loss of 4100 at current level and further decline of 4550 and see upside to 5800-6500 in next 10-12 months.
(disclaimer: Recommendations, suggestions, opinions and views given by experts are their own. (These do not represent the views of The Economic Times)
(You can now subscribe to our ETMarkets WhatsApp channel)
