JK Paper, KEC International, JM Financial: Trading strategies for these buzzing stocks

Domestic stock indices hit fresh highs on Monday amid buying in information technology, pharma, banking and oil & gas stocks names. The BSE Sensex scaled the 73,000 level for the time while the NSE Nifty topped the 22,000-level. The BSE barometer rallied 759.49 points, or 1.05 per cent, to settle at 73,327.94. The NSE Nifty climbed 202.90 points, or 0.93 per cent, to end the day at 22,097.45.

A few stocks namely JK Paper Ltd, KEC International Ltd and JM Financial Ltd are likely to remain in focus today. Here is what Kunal Shah, Senior Technical and Derivative analyst at LKP Securities has to say on these stocks ahead of Tuesday's trading session:

JK Paper | Buy | Target Price: Rs 430-440 | Stop Loss: Rs 390
JK Paper is poised for a potential breakout on the daily chart following an extended consolidation phase. The stock has witnessed volume-based buying, indicating a bullish undertone. Any pullback will be considered a buying opportunity. The momentum indicator RSI has provided a positive crossover, further confirming the bullish sentiment. The suggested buying range for the stock is Rs 410-405. The support for the stock comes in at Rs 390 and a potential upside target is seen at Rs 430-440.

KEC International | Buy | Target Price: Rs 650-665 | Stop Loss: Rs 590
KEC International has recently experienced a breakout on the daily chart, surpassing a rising trendline. The stock is exhibiting a pattern of higher lows, indicative of a bullish trend. It  is currently trading above its 20-SMA. The momentum indicator RSI is also forming higher lows, reinforcing the bullish undertone on the counter.

JM Financial | Buy | Target Price: Rs 106-110 | Stop Loss: Rs 98
JM Financial is positioned for a potential breakout, as it formed a bullish pennant pattern on the daily chart. The stock is trading above its short-term moving average (20-DMA), indicating a bullish undertone. The lower-end support for the stock is identified at Rs 98, providing a cushion for a potential price declines. The upside targets are projected at Rs 106-110, making JM Financial an interesting prospect for a bullish move.
 

Disclaimer: Business Today provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.

Also read: Stock recommendations by analyst for January 16, 2024: JK Paper, KEC and JM Financial

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