Ambuja Cements, TechM, Eicher Motors: What should be your strategy for today's session
Ambuja Cements has been plummeted from its swing high in the last few weeks. The scrip has fallen more than 40 per cent from its all-time high amid negative news flows.
- Feb 16, 2023,
- Updated Feb 16, 2023 8:04 AM IST
Domestic stock indices extended gains for the straight second session on Thursday, thanks to buying in select index heavyweights and IT stocks. The 30-share pack BSE Sensex surged 242.83 points, or 0.40 per cent, to close at 61,275.09. NSE's Nifty jumped 86 points, or 0.48 per cent, to 18,015.85
Select stocks such as Tech Mahindra, Ambuja Cements and Eicher Motors were on traders' radar. Here is what Laxmikant Shukla, Technical Research Analyst at YES Securities suggests has to say on these stocks ahead of the Thursday's trading session:
Tech Mahindra | Buy | Target Price: Rs 1,280 | Stop Loss: Rs 380
Tech Mahindra, post the short-term correction from a swing high of Rs 1,077, formed a strong base near its 200-week moving average that is placed at Rs 980 level. At present, it has given a consolidation breakout with the formation of a massive bullish candle on the daily chart. The stock has also started trading above its key moving averages, with bullish crossover in MACD. It suggests further strength on the counter.
For the bulls, the Rs 1,080 level would be the crucial to watch out. If the stock manages to close above the same, we can expect a quick uptrend rally towards Rs 1,220 and Rs 1,280 levels. Till then, the level of Rs 980 could act as a firm support on the downside.
Ambuja Cements | Cautious | Resistance: Rs 400 | Support: Rs 315
Ambuja Cement has plummeted from its swing high in the last few weeks on the back of negative news flows. The stock has in fact fallen over 40 per cent from its all-time high. The sharp sell off has dragged the scrip towards its multi month support zone, near the 200-weekly moving average level. Going ahead, if the support zone of Rs 315-300 is respected, an oversold bounce shall be expected towards Rs 400-430 levels. Failing to do so may weaken the stock further and it can slip towards Rs 275-265 levels.
Eicher Motors | Buy | Target Price: Rs 3,580 | Stop Loss: Rs 3,090 |
Eicher Motors, after a medium-term correction, eventually took support near the Rs 3,100 level. Post correction, the stock is consistently taking support in the Rs 3,100-3,150 price range. On the daily chart, the stock has taken support from its rising trendline and reversed the trend while forming a Bullish Belt Hold candlestick pattern on the daily chart. It indicates a strong possibility of quick pullback rally from the current levels. Looking at the overall pattern, the stock offers buying opportunities for a positional target of Rs 3,580 with stop loss placed at Rs 3,090 on a closing basis.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Business Today)
Also read: SGX Nifty up 42 points: Asian markets, dollar movement, Q3 earnings, FPI flows & more
Also read: Shree Cement, Chambal Fertilisers shares to turn ex-dividend; Nestle India Q4 results today
Domestic stock indices extended gains for the straight second session on Thursday, thanks to buying in select index heavyweights and IT stocks. The 30-share pack BSE Sensex surged 242.83 points, or 0.40 per cent, to close at 61,275.09. NSE's Nifty jumped 86 points, or 0.48 per cent, to 18,015.85
Select stocks such as Tech Mahindra, Ambuja Cements and Eicher Motors were on traders' radar. Here is what Laxmikant Shukla, Technical Research Analyst at YES Securities suggests has to say on these stocks ahead of the Thursday's trading session:
Tech Mahindra | Buy | Target Price: Rs 1,280 | Stop Loss: Rs 380
Tech Mahindra, post the short-term correction from a swing high of Rs 1,077, formed a strong base near its 200-week moving average that is placed at Rs 980 level. At present, it has given a consolidation breakout with the formation of a massive bullish candle on the daily chart. The stock has also started trading above its key moving averages, with bullish crossover in MACD. It suggests further strength on the counter.
For the bulls, the Rs 1,080 level would be the crucial to watch out. If the stock manages to close above the same, we can expect a quick uptrend rally towards Rs 1,220 and Rs 1,280 levels. Till then, the level of Rs 980 could act as a firm support on the downside.
Ambuja Cements | Cautious | Resistance: Rs 400 | Support: Rs 315
Ambuja Cement has plummeted from its swing high in the last few weeks on the back of negative news flows. The stock has in fact fallen over 40 per cent from its all-time high. The sharp sell off has dragged the scrip towards its multi month support zone, near the 200-weekly moving average level. Going ahead, if the support zone of Rs 315-300 is respected, an oversold bounce shall be expected towards Rs 400-430 levels. Failing to do so may weaken the stock further and it can slip towards Rs 275-265 levels.
Eicher Motors | Buy | Target Price: Rs 3,580 | Stop Loss: Rs 3,090 |
Eicher Motors, after a medium-term correction, eventually took support near the Rs 3,100 level. Post correction, the stock is consistently taking support in the Rs 3,100-3,150 price range. On the daily chart, the stock has taken support from its rising trendline and reversed the trend while forming a Bullish Belt Hold candlestick pattern on the daily chart. It indicates a strong possibility of quick pullback rally from the current levels. Looking at the overall pattern, the stock offers buying opportunities for a positional target of Rs 3,580 with stop loss placed at Rs 3,090 on a closing basis.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Business Today)
Also read: SGX Nifty up 42 points: Asian markets, dollar movement, Q3 earnings, FPI flows & more
Also read: Shree Cement, Chambal Fertilisers shares to turn ex-dividend; Nestle India Q4 results today