JSW Steel, Punjab National Bank, GAIL: How should you trade these stocks amid results buzz?

Domestic equity indices on Thursday declined for the straight third session. Stocks erased the entire day’s gains in the fag end of the session amid the expiry of weekly derivatives contracts. The BSE Sensex fell 128.90 points, or 0.21 per cent, to settle at Rs 61,431.74. The NSE's Nifty declined 51.80 points, or 0.28 per cent, to close at 18,129.95.

Select stocks such as Punjab National Bank, JSW Steel and GAIL (India) are likely to to buzz today amid earnings season. Here is what Rohan Shah, Head Technical Analyst at Stoxbox has to say on these stocks ahead of Friday's trading session:

Punjab National Bank | Buy above 50.30 | Target Price: Rs 54.40 | Stop Loss: Rs 47.90

Punjab National Bank came out of an elongated consolidation phase in November 2022 on highest volumes recorded in that quarter. It continued to garner bullish strength, as the price action hovered above the breakout level, acting as immediate support. The relative performance compared to Nifty remained muted since February 2023. The levels of Rs 50.25-49.60 are acting as overhead resistance. One can buy this stock above Rs 50.30 on a closing basis for the target of Rs 54.40 and will a stop loss of Rs 47.90.

GAIL India | Buy in 101-106 | Target Price: Rs 121 | Stop Loss: Rs 98
GAIL's price action has been oscillating in a broad trading range of 26 per cent with levels of Rs 113 acting as a stiff supply zone since June 2021. The said resistance point has been tested four times in the span of 101 weeks. On the other side, the stock has immediate support at Rs 106. The stock is anticipated to garner bullish strength provided the pivotal low of Rs 102 on the daily timeframe remains intact on a closing basis. One can buy the stock in the range of Rs 106-101, with stop loss at Rs 98, for the target of 121.

JSW Steel | Avoid | Resistance: Rs 700-710

One can avoid JSW Steel because of its below par EPS and price strength, poor group rank and a lack of professionals’ participation. On technical front, the stock has plunged below the polarity level at Rs 701 with a surge in sell volume and the 100-DEMA is now acting as an immediate resistance. The stock also saw building up of interest at Call strikes of Rs 700 and Rs 710. Hence, the levels on the price action front will act as a stiff resistance zone.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Business Today.)

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