PNB, Indian Hotels, Zydus Lifesciences: Top stocks to trade — Check key levels, targets & stop loss

Indian equity benchmark settled lower for another trading session, thanks to rising inflation concerns led by elevated crude oil prices and escalating West Asia conflict, weighing on the investor sentiments. The BSE Sensex declined 460.30 points, or 0.62 per cent, to end at 73,249.39, while NSE's Nifty50 dropped 123.70 points, or 0.54 per cent, to settle at 22,687.65 for the day.

Select buzzing stocks including Punjab National Bank, Indian Hotels Co Ltd and Zydus Lifesciences Ltd are likely to remain under the spotlight of traders for the session today. Here is what Vishnu Kant Upadhyay, AVP of Research at Master Capital Services has to say about these stocks for Friday's trading session:

Indian Hotels Company | Buy | Target Price: Rs 845-880 | Stop Loss: Rs 730
Indian Hotels has broken out of a prolonged consolidation phase above the Rs 750 resistance zone, signalling renewed buying interest and strengthening its bullish outlook. The breakout is supported by a positive shift in the price structure, while the stock is trading above its key moving averages. On the long term chart, the formation of an inverse head and shoulders pattern and its subsequent breakout reinforce the potential trend reversal. Sustained trading above Rs 750 could support the continuation of the upward momentum, with the former resistance zone likely to act as an important support area during any near-term pullback.

Zydus Lifesciences | Buy | Target Price: Rs 1,200-1,230 | Stop Loss: Rs 1,080
Zydus Life continues to demonstrate relative strength amid broader market weakness, highlighting its resilience and underlying buying interest. The stock has been consolidating above the crucial Rs 1,080-1,100 support zone while maintaining a strong price structure characterised by higher highs and higher lows. Sustained support above this zone reinforces the positive outlook and keeps the broader bullish trend intact. The stock is trading near its short term moving averages, suggesting a consolidation phase before the next directional move. The RSI stands at 49, indicating scope for momentum to strengthen further. A decisive move above recent swing highs could trigger fresh buying interest and pave the way for the next leg of the uptrend.

Punjab National Bank | Buy | Target Price: Rs 130-136 | Stop Loss: Rs 115
PNB has witnessed a decisive breakout above the key resistance zone of Rs 118, accompanied by a runaway gap on the daily chart, signalling strong bullish momentum and the potential for trend continuation. The stock is comfortably trading above all its key moving averages, reflecting strengthening trend dynamics and sustained buying interest. The breakout indicates improving market sentiment, with further upside potential if the price sustains above the breached resistance zone. The RSI stands at 62, indicating positive momentum, while the MACD signals bullish divergence, further reinforcing the constructive outlook. The overall chart structure favours continued upward movement, with the Rs 118 breakout zone likely to act as immediate support.