Godfrey Phillips, HEG, Gujarat Fluoro: Top stocks to trade— Target price, stop loss & more

Indian benchmark indices settled lower on Tuesday on the back of profit booking over the weekly expiry. However, the new CAS mechanism led to major divergence in the closing prices. The BSE Sensex dropped 210.08 points, or 0.27 per cent, to close at 78,428.95, while NSE's Nifty50 tanked 159.40 points, or 0.64 per cent, to end at 24,614.90 for the day.

Select buzzing stocks like HEG, Godfrey Phillips India Ltd and Gujarat Fluorochemicals Ltd are likely to remain under the spotlight of traders for the session today. Here is what Rajesh Palviya, Head of Research at Axis Direct has to say on them ahead of Wednesday's trading session:

Gujarat Fluorochemicals | Buy | Target Price: Rs 4,850-4,950 | Stop Loss: Rs 4,395
Gujarat Fluoro is in a strong uptrend, forming a series of higher tops and bottoms. Rising volumes over the past month signify increased participation. The stock is well placed above its 20, 50, 100 and 200-day SMAs. These averages are also inching up along with the price rise, which reconfirms the bullish trend. The monthly 'Bollinger Band' buy signal shows increased momentum. The daily, weekly and monthly RSI is in favourable territory, indicating rising strength across all time frames. Investors should consider buying, holding, and accumulating this stock. Its expected upside is Rs 4,850-4,950, and its downside support zone is Rs 4,440-4,350.

HEG | Buy | Target Price: Rs 700-720 | Stop Loss: Rs 650
HEG is trending up within the 'up-sloping channel' on the weekly charts, indicating a sustained move. Rising volumes over the past month signify increased participation. In addition, the stock is poised for a move. The stock is well placed above its 20, 50, 100 and 200-day SMAs. These averages are also inching up along with the price rise, which reconfirms the bullish trend. The daily, weekly and monthly RSI is in favourable territory, indicating rising strength across all time frames. Investors should consider buying, holding, and accumulating this stock. Its expected upside is Rs 700-720, and its downside support zone is the Rs 660-645 levels.

Godfrey Phillips India | Buy | Target Price: Rs 2,550-2,650 | Stop Loss: Rs 2,225
With the current close, Godfrey Phillips decisively surpassed the past three months 'down-sloping trendline' resistance on a closing basis, accompanied by huge volumes, indicating a strong trend reversal. The stock is sustaining above its 20, 50, and 100-day SMAs, which confirms bullish sentiments. The daily 'Bollinger Band' buy signal shows increased momentum. The daily and weekly RSI is in favourable territory, indicating rising strength across all time frames. Investors should consider buying, holding, and accumulating this stock. Its expected upside is Rs 2,550-2,650, and its downside support zone is the Rs 2,250-2,200 levels.