NEW DELHI: Domestic equity benchmarks slid in opening trade on Monday on losses in shares of heavyweights Reliance Industries and HDFC.
A spike in crude oil prices following reports of a US move to end all sanction waivers on import of Iranian oil, election-related jitters and record high levels of equity indices are making investors nervous. Indian VIX – an indicator of traders’ perception of market risks – was at its highest in 15 months.
A slide in the rupee slide against the US dollar also depressed investor sentiments. The rupee slumped by 52 paise in early trade on Monday.
Analysts said while the broader market has turned rangebound, a stock-specific approach can hold investors in good stead. Based on various analyst recommendations, here is a list of 10 stocks that can potentially give good returns over next 2-3 weeks.
Subash Gangadharan, Senior Technical Analyst, HDFC Securities
Minda Industries | Buy | Target price: Rs 470 | Stop loss: Rs 350
Minda Industries is one of the strongest stocks in the market currently. It rallied smartly last week on the back of above average volumes and closed at a seven-month high in the process. Technical indicators are giving positive signals as the stock trades above its 13-day and 50-day simple moving averages. Intermediate momentum readings are in the rising mode, and are not signalling overbought condition.
APL Apollo Tubes | Buy | Target price: Rs 1,920 | Stop loss: Rs 1,380
APL Apollo Tubes rallied smartly last week on the back of huge volumes and closed at a new seven-month high. In the process, the stock reversed the recent intermediate downtrend and broke out of a recent narrow trading range. Technical indicators are giving positive signals as the stock trades above the rising short-term (13-day SMA) and medium-term (50-day SMA) moving averages. Intermediate momentum indicators like the 14-week RSI are in the rising mode and is not overbought yet.
Kkunal Parar, Senior Technical Analyst, Choice Broking
Hero MotoCorpNSE -1.90 % | Buy | Target price: Rs 2,910 | Stop loss: Rs 2,645
On the daily scale, this stock has seen a breakout from its upper band of Falling Wedge formation, which is pointing that the stock is positively biased for the coming trading sessions. Daily momentum indicator RSI reading is at 61.50 with a positive divergence along with a positive crossover, indicating positive breath on the counter.
HUL | Buy | Target price: Rs 1820 | Stop loss: Rs 1700
On the weekly chart, this stock has seen a breakout from the upper band of its Falling Wedge formation, which is signalling a trend reversal and a bull run on the counter. Furthermore, the stock has started trading above its 21- day exponential moving average which shows a positive trend for the time being.
Rajesh Bhosale, technical analyst, Angel Broking
Quick Heal Technologies | Buy | Target price: Rs 254 | Stop loss: Rs 217
After the sharp rally seen from Rs 171 to Rs 240 levels, this stock went into a consolidation phase last month. On the daily chart, the stock has now closed above the higher range of consolidation and seems to have resumed a primary uptrend. The aforesaid breakout is supported by a bullish candlestick pattern and increasing volume. On the oscillators’ front, after forming a base around 50 level, a smoothened RSI has given a fresh ‘buy’ signal with its average supporting our positive bias.
JSW Steel | Buy | Target price: Rs 325 | Stop loss: Rs 284
In the recent broader market rally, this heavyweight metal counter had no major contribution. However, after breaking above a consolidation range of last three months, the stock is likely to end its slumber and may show outperformance. The resistance for the above-mentioned consolidation phase coincides with 89-EMA and a close above the same with a bullish candle and increasing volume can give credence to our optimistic view. In addition, RSI is in positive zone supporting our buy call.
Mustafa Nadeem, CEO, Epic Research
Titan CompanyNSE -0.15 % | Buy | Target price: Rs 1,170 | Stop loss: Rs 1,100
This stock is in an uptrend since Q42018 and has been outperforming the market. Any consolidation with dips are seen as an opportunity as there is a golden cross along with prices taking support at the short-term moving average.
Axis BankNSE -2.04 % | Buy | Target price: Rs 825 | Stop loss: Rs 750
This stock is trending positively with higher top and higher bottoms. A recent pullback is seen to 20 MA and with the reversal formation on the weekly chart, it can trend higher in the coming days.
Vikas Jain, Senior Research Analyst, Reliance Securities
BPCL | Buy | Target price: Rs 410 | Stop loss: Rs 342
This stock has completed its corrective phase by taking support at Rs 350 and is holding to its 200-day average. Bullish cross-over in RSI and stochastic oscillator are signalling a turnaround for the stock.
Tech MahindraNSE 0.62 % | Buy | Target price: Rs 885 | Stop loss: Rs 770
This stock has formed a higher bottom after witnessing a sharp decline and has crossed the short-term averages with volume, signalling strong buying interest.
(Views and recommendations given in this section are the analysts’ own and do not represent those of ETMarkets.com. Please consult your financial advisor before taking any position in the stock/s mentioned.)