Market Trading Guide: Tata Steel, JK Cement among 9 stock recommendations for Wednesday

The stock as per weekly timeframe chart has been forming a bullish ascending triangle type pattern over the last two months. Weekly 10 and 20 period EMA are offering support for the stock price to move up consistently. Volume has started to expand during an upside breakout in the stock price and weekly RSI shows positive indication.

(Nagaraj Shetti, Technical Research Analyst, HDFC Securities)

After showing weakness in the last couple of weeks, the stock has bounced back from the lows this week. Presently, the stock price is in an attempt to witness a decisive upside breakout of down sloping trend line resistance at Rs 1,705 levels. Volume and oscillators are signaling positive indications.

(Nagaraj Shetti, Technical Research Analyst, HDFC Securities)

On the daily charts, the stock has given a breakout of previous swing high with bullish candlestick. In addition, the stock has traded above the important near term moving average and simultaneously, the technical indicator Ichimoku cloud suggests that the price is trading above the cloud which shows a positive trend in the counter. The momentum oscillator RSI (14) is at around 75 showing strength by sustaining above 60.

(Ashish Katwa, Research Analyst, Bonanza Portfolio)

The stock is trading above its 21, 50 & 100- day exponential moving averages on weekly & daily time frames, which is positive for the prices in the midterm. In terms of technical indicators, the Ichimoku cloud analysis reveals that the price is currently trading above both the conversion and base lines. This indicates a favorable outlook and reinforces the positive strength in the stock. The Momentum Oscillator RSI (14) has crossed the 60 level, which suggests a positive trend.

(Ashish Katwa, Research Analyst, Bonanza Portfolio)

Post multi-week decline, the stock rebounded off the support zone. Positive follow up action to large bullish candle could lift the stock to revisit prior month’s peak.

(Amit Trivedi, CMT, Technical Analyst - Institutional Equities, YES Securities)

Recoveries in the recent past remained short lived, the appearance of multiple bearish candles ensures influence of resistance at play.

(Amit Trivedi, CMT, Technical Analyst - Institutional Equities, YES Securities)

In the daily chart after consolidating in the range of Rs 98-108 from March to June, the stock has given a sharp upside rally to make the high of Rs 109 odd levels.

During this bull run, the price has made a Higher Top Higher Bottom pattern as buyers were having full control over price. From the higher level stock has given some correction and after taking support of 20 DMA around Rs 114, price has given a sharp pull back to make the new 52 week high. Bulls are having the upper hand as the trend is on upside. Stock is also trading above all major averages of 20 DMA, 50 DMA and 200 DMA which is a positive sign. The Stochastics Oscillator is moving in an upward trend along with an increase in volume indicating further upside move from here.

(Viral Chheda, Sr. Technical Analyst, SSJ Finance & Securities)

In the daily chart after making lows around Rs1005 in March 2023, price has witnessed a sharp bull run to make an all time high of Rs 1384 odd levels. Buyers were having the upper hand against bears as we can see formation of Higher Top Higher Bottom pattern. In the last 30-35 days, we can see the price is moving in a range of Rs 1289-1384. Price is currently trading above its 20 EMA and 40 EMA of 1333 and 1313 indicating bulls to play a major role at current level. The Stochastics Oscillator is moving in an upward trend along with an increase in volume indicating further upside move from here.

(Viral Chheda, Sr. Technical Analyst, SSJ Finance & Securities)

In the daily chart after making lows of around Rs 727 in March 2023, the stock has witnessed a bull run to make the high of Rs 947 odd levels.

Buyers were having the upper hand against bears as the price was moving in an uptrend. At a higher level, the stock was moving in a range of Rs 876-947. Price is currently trading below its 50 DMA and 200 DMA of Rs 871 and Rs 877 indicating bears to play a major role at current level. Price is currently facing more selling pressure and can test the support around Rs 770 and further down till Rs 720 odd levels. The Stochastics Oscillator is trading in a downward trend indicating further downside from here.

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