Market Trading Guide: IHCL, IPCA Labs and this smallcap counter are stock recommendations for Wednesday
, ETMarkets.com|
While Sensex rose 584 points (0.72%) to 81,634, broader Nifty gained 217 points (0.88%) to end at 25,013.
Nifty formed a bullish harami pattern on the daily timeframe, indicating rising optimism with the index also moving above a critical moving average on the hourly time frame, Rupak De, Senior Technical Analyst at LKP Securities said. "The RSI has made a bullish crossover in the shorter timeframe, further supporting the positive outlook. In the near term, the index may move towards the 25,350–25,400 range. On the downside, support is placed at 24,850, and a break below this level could lead to weakness," De said.
Here are 3 stock recommendations for Wednesday:
Agencies
Stop Loss: Rs 293
In the daily time frame, IOC has broken down of a symmetrical triangle, signaling a potential downtrend. The stock closed near its day low, reflecting strong bearish sentiment, with the close near its three-month low indicating clear dominance by sellers. The decent volume supports this price action, suggesting heightened selling interest at the current market price. From a momentum perspective, the RSI is positioned in the lower range, reinforcing the negative outlook.
(Mitesh Karwa, Senior Research Analyst, Bonanza)
ETMarkets.com
Stop Loss: Rs 670
Indian Hotels Company is seen to be retesting a crucial support zone after breaking out and making a big bullish candlestick on the daily timeframe which indicates strength. Momentum oscillator RSI (14) is at around 52 on the daily time and is showing strength by sustaining above 50, adding to it the stock is seen to be trading above its importance EMAs. Observation of the above factors indicates that a bullish move in IHCL is possible for targets up to Rs. 715. One can initiate a buy trade in between the range of Rs 683-684 with stop loss of Rs 670 on daily closing basis.
(Mitesh Karwa, Senior Research Analyst, Bonanza)
ETMarkets.com
Stop Loss: Rs 1,500-1,480
Since June this year, this stock has shown a very good upward move, rising from below the 1000 level to the current price of 1550+. In the short term, three technical targets of 1560, 1610, and 1675 can be achieved.
Volume needs to pick up going forward. The RSI has not yet entered the super bullish zone. Other indicators are currently neutral. Support now stands in the zone of 1500-1480.
(Priyanka Limaye, CA, CMT)
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
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