Buy Ambuja Cements, GRSE shares; stay cautious on HDFC Bank stock, suggests YES Securities

Indian benchmark indices settled higher on Wednesday as the sentiments remained buoyed amid the trade deal truce between the US and India. However, traders also waited for the US Fed's policy outcome later today. BSE Sensex surged 313.02 points, or 0.38 per cent, to settle at 82,693.71, while NSE's Nifty50 rallied 91.15 points, or 0.36 per cent, to close at 25,330.25 for the day.
 

Select buzzing stocks including Garden Reach Shipbuilders & Engineers (GRSE), Ambuja Cements and HDFC Bank are likely to remain under the spotlight of traders for the session today. Here is what Laxmikant Shukla, Senior Technical Analyst at YES Securities has to say about these stocks ahead of Thursday's trading session:
 

Ambuja Cements | Buy | Target Price: Rs 620 | Stop Loss: Rs 560

Ambuja Cements has given a bullish breakout after a few days of consolidation phase with recent price action showing renewed upward momentum. The stock is trading comfortably above all key moving averages while the daily MACD has given positive crossover signals strengthening bullish momentum. This technical setup suggests a potential upside towards Rs 620, making current levels attractive for fresh long positions. We recommend buying Ambuja Cements around Rs 580 with a stop loss at Rs Rs 560, offering investors a favorable risk-reward proposition as the stock looks set to resume its upward trajectory.
 

HDFC Bank | Caution | Resistance: Rs 980 | Support: Rs 940

Fluctuations in the HDFC Bank have remained within a narrow range for the past few weeks. This lack of clear direction calls for a decisive breakout, either above Rs 980 or below Rs 940, to establish the next move. A drop below Rs 940 could lead to a decline towards Rs 920 while sustained trading above Rs 980 might push the index up to Rs 1,010-1,020 zone. Investors should monitor these levels closely for potential trading opportunities. Additionally, volume trends may provide further insight into the strength of any breakout or breakdown.
 

Garden Reach Shipbuilders & Engineers | Buy | Target Price: Rs 2,850 | Stop Loss: Rs 2,400

GRSE regained momentum in yesterday’s session with the formation of a bullish candle, despite a recent minor pullback for the last two days. It has shown strong support at its previous swing low, a level perfectly aligned with the 20-Day SMA. This, combined with a bullish candle formation and a clear breakout from a horizontal line above its 50-day SMA, points to an imminent recovery. Traders should consider buying on dips strategy within the Rs 2,540-2,560 zone, aiming for a target of Rs 2,850 and setting a stop loss at Rs 2,400 to manage risk.