9 stocks that analysts say can give solid returns in 2-4 weeks

Demand is expected to pick up during the monsoon session due to Maharashtra and Karnataka's agricultural markets. The discounted product push strategy is now back to normal levels. The projection for demand also appears strong, and the company is operating at full capacity. During FY20, management guided volume growth of 12-15 percent.

[Gaurav Garg, Head of Research, CapitalVia Global Research]

The company seeks expansion of retail outlets for better customer reach. In the first quarter of FY20, it continued to add 45 stores for all businesses. With the enrichment of new collections in the jewelry portfolio, the company is gearing up on all fronts across its portfolio of brands and businesses to stimulate demand in the coming quarter through innovative campaigns and new product launches. Rising demand in the festive season, sustainability in gaining market share, the company is expected to foster growth in the upcoming quarters.

[Gaurav Garg, Head of Research, CapitalVia Global Research]

We expect the JV to be a key factor going forward for M&M. The product portfolio horizon will increase in the domestic automobile market with the company being the major beneficiary in the tractor segment. It is also expected to improve the scale of operations with sharing of technological advancement. Using FIPL, it is likely to see global improvement in exports. In view of the scale of operations at M&M (total vehicle production including tractors at approximately 9-10 lakh units in FY19), the combined supply of both M&M and Ford India will be more than 3 times the current supply at FIPL (total vehicle production at approximately 2,6 lakh units in FY19), resulting in economies of scale.

[Gaurav Garg, Head of Research, CapitalVia Global Research]

PNB has been in a rangebound action since May 2020. The range is fairly wide with Rs 39 at the top end and Rs 26 at the lower end. Thus we are in a range bound action for the last nine months. The recent spurt in banking stocks seems to have given rise to a bullish trend in PNB. The price action since October shows a series of narrow range bars with diminishing volumes suggesting that there seems to be accumulation going on in this counter. The entire time span from October 2020 till date seems to be manifesting into a rounding bottom pattern. This is a reversal pattern and it means that the trend from the high of Rs 38 is reversing. As the larger degree trend is sideways between Rs 26-40, there is a strong likelihood of price rallying towards Rs 39-40 levels. We also see a trendline joining from the high of April 2019 to the high of August 2020 getting violated on the upside. The short-term moving averages are also getting bullish. PNB seems to be reversing its downtrend. Buy for a target of 38-40 over next 6-8 weeks. Keep a stop below Rs 26.

[Manish Shah, Trader, Researcher, Trading Coach. www.Niftytriggers.com]

Mahindra & Mahindra Finance is a stock that seems to be completing its entire decline from the high of Rs 320 and it seems to be in initial stages of a change in trend. Price made a low of Rs 80 in April 2020 and it made a high of Rs 160 in July 2020. This entire move can be broken down into a 5-wave sequence or an A wave in Elliott wave terms. The slow moving price move from July till October is a wave 2. If this count holds true, the next leg could be a wave three or wave C. This gives us a target of Rs 185-188 over the next couple of months. On the price action front, we see price breaking out of a declining trendline formed by joining the July highs to October highs. In the last two days, price has also broken out from its 50 period average and also swing highs at Rs 137. The strong momentum candles in the last two days suggest a significant change in the sentiment from bearish to bullish. Accumulate between Rs 145-140 for a target of Rs 165 and above that to Rs 185.

[Manish Shah, Trader, Researcher, Trading Coach. www.Niftytriggers.com]

While the broader markets had a vertical up move in the last few months, this stock consolidated within a broad range of Rs 260-315 in the last three months. The prices now seem to have come out of its slumber phase as they have broken this consolidation on the higher side confirming an ‘Inv. Head N Shoulder’ breakout on the daily chart. The said breakout is witnessed with above average volumes and a strong positive candle that augurs well for the bulls. In addition, prices have closed above the higher range of the Bollinger band and this indicates a near term trending up move post its recent consolidation phase. The other technical analysis parameters like key averages and oscillators are positively placed, supporting the overall positive bias for this counter. Hence, with all the above evidence, we recommend a buy at current levels for a target of Rs 360 over the next 14 sessions. The stop loss should be placed below Rs 303.

[Sameet Chavan, Chief Analyst Technical and Derivatives, Angel Broking]

Post its strong run from its May low of Rs 57 to recent high around Rs 117, the stock prices started correcting lower as the indicators had entered deep overbought territory. The said correction, however, got arrested around a key support level, which coincided with 50 per cent retracement of the above mentioned rally, 50WMA and 200DMA. On the daily chart, after bouncing from the mentioned support level, the prices have now confirmed a ‘Double Bottom’ bullish breakout that indicates a resumption of prior uptrend. The said breakout is supported with good increase in volume. Moreover, the prices have now closed above 89 DMA that previously acted as a stiff hurdle and now indicates a change in polarity. Momentum oscillator, i.e. RSI is in a safe positive zone pointing northwards supporting the buy call. With all the above rationale, we sense the prices have resumed its uptrend. Hence, we recommend a buy at current levels for a target of Rs 104 over the next 14 sessions. The stop loss should be placed below Rs 91 levels.

[Sameet Chavan, Chief Analyst Technical and Derivatives, Angel Broking]

After showing a sideways range movement over the last few months, the stock price has witnessed a sharp upside bounce in the last few sessions. The stock price is now placed at the edge of showing upside breakout of the larger range at Rs 128-130 levels. We observe a larger degree of positive sequence like higher tops and bottoms and further upside could confirm a new higher top of the sequence at highs. Volume has started to expand with the up move in the stock price. The daily 14 period RSI shows a positive pattern. Buying can be initiated in Motherson Sumi Systems Ltd at CMP. Add more on dips down to Rs 122, wait for the upside target of Rs 142 in the next 3-4 weeks. Place a stop loss of Rs 118.

[Nagaraj Shetti, Technical Research Analyst, HDFC Securities]

The recent downward correction in Chennai Petro seems to be over as the stock price has witnessed a reasonable upside bounce. The present chart pattern signals a formation of higher bottom at Rs 72.65, which is in the later part of October 20 and this signals a formation of important bottom reversal in the stock price. The volume pattern and momentum oscillator signal positive bias for the stock price ahead. One may look to buy Chennai Petroleum at CMP, add more on dips down to Rs 74 and wait for the upside target of Rs 85 in the next 3-5 weeks. Place a stop loss of Rs 71.50.

[Nagaraj Shetti, Technical Research Analyst, HDFC Securities]