Adani Ports, SBI, Tech Mahindra: Trading strategies for these buzzing blue-chip stocks

Benchmark stock indices settled sharply higher on Friday, thanks to robust buying in IT shares as Q3 earnings season kicked off on a positive note. The BSE Sensex surged 847.27 points, or 1.18 per cent, to settle at 72,568.45. The NSE Nifty rallied 247.35 points, or 1.14 per cent, to end the day at 21,894.55.

A few largecap stocks Adani Ports & Special Economic Zone Ltd (Adani Ports), State Bank of India Ltd (SBI) and Tech Mahindra Ltd are likely to be in focus today. Here is what Mileen Vasudeo, Senior Technical Analyst, Arihant Capital Markets has to say on these stocks ahead of Monday's trading session:

Adani Ports & Special Economic Zone | Hold | Target Price: Rs 1,325-1384 | Stop Loss: Rs 1,148
On the daily chart, one can observe Adani Ports making a higher high formation, which is a sign of strength. The momentum indicator viz. MACD is positively poised and the stock is outperforming key indices. Combining the above parameter, it is evident that momentum on the upside is likely to continue. Hence, one can hold the stock at current levels with a stop loss of Rs 1,148 for a target of Rs 1,325-1,384 levels in the next couple of weeks.

State Bank of India | Hold | Target Price: Rs 695-725 | Stop Loss: Rs 615
On the daily chart, SBI  has seen taken support at the demand zone of Rs 620-625 level. The momentum indicator viz. RSI is positively poised and the stock is outperforming key indices. Combining the above parameter, it is evident that momentum on the upside is likely to continue. Hence, one can hold the stock at current prices with a stop loss of Rs 615 for a target of Rs 695-725 levels in the next couple of weeks.

Tech Mahindra |Buy | Target Price: Rs 1,390-1,436 | Stop Loss: Rs 1,267
On the daily chart, Tech Mahindra is seeing a strong positive price action with high volumes. The momentum indicator viz. RSI is positively poised and the stock is outperforming key indices. This suggests that momentum on the upside may continue. Hence, one can buy the stock at current prices with a stop loss of Rs 1,267 for targets of Rs 1,390-1,436 levels in the next couple of months.
 

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