Trading ideas: ITC, Zomato among 5 stocks that can rally up to 12% in short term

The stock has shown a robust rally from the lower levels in recent months. Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities says there is a fresh breakout along with incremental volume activity from the ascending triangle chart formation. "As a result, the comfortable close above its breakout levels suggests upward momentum to persist in the coming horizon."

On the daily and weekly scale, the counter is into a rising channel chart formation with the higher high and higher low series pattern. After a sharp uptrend rally, the counter closed above its breakout zone. Furthermore, the bullish continuation chart structure indicates an up move to continue in the near term.(Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities)

Post decline from the higher levels, the counter rebounded from its multiple support zone on the weekly scale. "On the daily charts, the counter has given a breakout from its sloping channel formation. The gradual up moves in the counter suggest a new leg of the bullish trend from the current levels," said Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities.

Schaeffler has corrected from an intermediate high of 3970 touched in September 2022. With the intermediate technical setup looking positive, Subash Gangadharan of HDFC Securities believes the stock has the potential to move higher in the coming weeks and therefore recommends a buy between the 2930-2970 levels.

Elecon recently found support around the 335 levels in December 2022, which also roughly coincides with the previous intermediate lows of the stock. "Last week, the stock broke out of a tight range on the back of above-average volumes," said Subash Gangadharan, Senior Technical and Derivative Analyst, HDFC Securities.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)