Airtel, HDFC Bank among 8 stocks likely to rally in the near term

On the weekly time frame, the stock has decisively broken out above the 'rectangular' pattern. It was consolidated in a broader range between 780 and 640. Breaking out above the range indicates that the stock will trend with positive bias. The stock is well placed above 20, 50, 100 and 200 day SMA’s, which reconfirms bullish trend. On the daily time frame, the stock is in
strong up trend, forming a series of higher tops and bottoms. The weekly strength indicator RSI is in a bullish mode and sustaining above 50-mark, indicating sustained strength.

Recommended by: Axis Securities
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On the weekly chart, the stock has broken above the horizontal trendline at Rs 320. Breakouts above previous swing high confirm that positive momentum will continue. The stock is well placed above its 20, 50 and 100 day SMA’s and sustaining above the same, which reconfirm bullish sentiments. The weekly 'Bollinger band' ‘buy’ signals indicate increased momentum. The daily and weekly strength indicator RSI is above its reference line indicating positive bias.

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On the weekly time frame, the stock has decisively broken out above the 'rounded bottom' pattern. This breakout is accompanied with rising volume. The stock is trading above 20, 50, 100 and 200 SMA, indicating positive trend and bullish sentiment on a stock. The daily and weekly strength indicator RSI is in a bullish mode and pointing north.

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In the weekly time frame, the stock has observed a 'symmetrical triangular' breakout around 3,000 levels along with huge volumes. This breakout is followed by a throwback till the upper band of the pattern. It retested the upper band and started bouncing back. The stock is well placed above its 20, 50, 100 and 200 Day SMA’s, which reconfirms bullish sentiments. The weekly strength indicator RSI is in positive terrain and sustaining above 9EMA-mark indicating positive momentum.

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Pharma sector has been outperforming all other sectoral indices in the recent past. Aurobindo Pharma has taken support at Rs 500-510-zone multiple times and has bounced again after its recent correction to Rs 495. It looks a good ‘buy’ at the current level with a closing basis stop loss of Rs 505 for targets of Rs 565 and 595.
Recommended By: Ashish Gupta, independent volatility trader and derivatives expert

HDFC Bank seems to have completed its correction from the highs of Rs 1,540 to Rs 1,365 and has bounced back sharply from lower levels. It was a relative outperformer in the banking sector as well with Bank Nifty down almost 1.5 per cent and HDFC Bank down half a per cent. With a stop loss of Rs 1,375, it can be bought for targets of Rs 1,480 and Rs 1,540.
Recommended By: Ashish Gupta, independent volatility trader and derivatives expert

Pharma stocks are currently in favour. The nifty pharma index is up 1.13 per cent, which gives strong support. In the pharma sector, GMM Pfaudler is our best pick for momentum trading with tight stop loss and for a decent upside. On charts, this stock is making a rounding bottom formation, which is a bullish indication. The RSI at 57 also gives a bullish signal and the MACD- level is above the zero line, which confirms that bullishness may continue in the near term.
Recommended By: Rakesh Bansal, Founder, IamRakeshBansal.com

This real estate counter looks very impressive on the chart, which gives a strong signal of bullishness. As of now, the stock hasn’t participated in the market correction and outperformed the NIFTY with a decent margin. The MACD signal is above the zero line. The RSI value is also 49, which also confirms that this bullishness may continue in the near term. Technically, the stock is making higher highs and higher lows on a daily time frame, which is a clear-cut bullish signal.

Recommended By: Rakesh Bansal, Founder, IamRakeshBansal.com