Top Picks for 15-26 Trading Sessions
After the sudden selloff seen last Monday, markets have bounced back strongly. Last week, on the weekly chart, the Nifty index produced a long-legged Doji candlestick bullish reversal trend.
Top picks for 15-26 trading sessions:
Buy Maruti Suzuki
Maruti discovered support at the 7205 levels after correcting from a high of 8013. Such levels also correspond with the 50-day SMA, making it a powerful help. Since then, the stock has rebounded and has steadily developed higher tops and higher bottoms over the last few sessions.
The stock also closed today above the 20 days SMA, a sign of short-term intensity. Short term momentum readings have also bounced back and are showing power, such as the 14-day RSI.
We assume that the stock is prepared to begin the next leg of its underlying upward trend and has the ability in the coming sessions to move higher. Therefore, between the 7560-7615 stages, we suggest a purchase. 7609 is a CMP. Although goals are at 8000, stop-loss is at 7430.
Buy Balkrishna Industries
Balkrishna Industries found help at the 50 days SMA around the 1515 levels after correcting from a high of 1720 reached in early December 2020. Since then, the stock has steadily risen higher, producing higher peaks and higher bottoms.
Today, on the back of above-average volumes, the stock broke out of the 1550-1590 trading range and also closed above the 20-day SMA in the process. Short-term momentum measures have also bounced back oversold levels, such as the 14-day RSI. This augurs well for the continuation of the uptrend.
We assume the stock is ready in the coming weeks to move higher. Therefore, between the 1590-1625 stages, we suggest a purchase. 1620 is CMP. Although goals are at 1760, stop-loss is at 1550.