scorecardresearch
SBI, M&M Finance, TVS Motor: Motilal Oswal sees up to 15% upside on these stocks

SBI, M&M Finance, TVS Motor: Motilal Oswal sees up to 15% upside on these stocks

Motilal Oswal has picked up five high risk stock that can deliver up to 15 per cent return to the traders in the next one to two months with a stop loss of up to 7 per cent

Motilal Oswal believes that the index has taken support at the weekly averages and it has formed a bullish candle which indicates strength Motilal Oswal believes that the index has taken support at the weekly averages and it has formed a bullish candle which indicates strength

As the Nifty50 Index ended 2022 above 18,200-mark, its highest ever closing on a yearly basis, domestic brokerage firm Motilal Oswal believes that the index has taken support at the weekly averages and it has formed a bullish candle which indicates strength.

The brokerage firm has picked up five high risk stocks that can deliver up to 15 per cent return to the traders in the next one to two months as it believes that traders should stick to stock specific approach, which are showing relative strength.

Commenting on Nifty50, Motilal Oswal said that the Nifty is expected to trade with positive bias and any decline would be an opportunity to enter for a move to 18,881 and 19,000 zones. "Major supports are placed at 17,777 and 17,500 zones." Motilal's top picks have been given equal weightage of 20 per cent each and it expects these stocks to outperform the markets in the short to near term. However, one should keep a stock loss of 7 per cent from their cost. The brokerage believes that Mahindra & Mahindra Financial Services has given a breakout on the monthly scale and it is forming higher highs since the last 3 months which indicates that the trend is positive. The stock ended 2022 at Rs 235. According to Motilal Oswal, TVS Motor has formed a strong bullish candle at the 20-week average and the momentum is showing signs of reversal for higher levels. Shares of TVS Motor settled near 1,085 on Friday. The brokerage is also positive on State Bank of India (SBI), which is priced at Rs 613 apiece. The largest PSU lender has formed a bullish engulfing candle pattern on the weekly scale and there is strong momentum across the PSU Banking space which will support the move to higher levels. Rhi Magnesita India is the next in Motilal Oswal's list, which is forming a pole and flag pattern on the weekly scale which has bullish implications and it can take the prices to higher levels. The momentum indicators on the weekly and monthly scale are placed in the positive territory which will support the move to higher zones. The stock is currently priced at Rs 840. Last but not the least, one can also initiate trade in Balarampur Chini, according to Motilal's report. The stock, priced at Rs 396, has formed a base on the weekly scale and it is giving a consolidation breakout of the same, which will support the up move. However, Motilal Oswal's technical basket has delivered profit only in one month out of the last three. Its October basket rose 6 per cent, whereas November and December 2022 baskets settled flat, with marginal declines.

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

Also Read: Why are shares of MOIL rallying today

Also Read: Wipro, HCL Tech, TechM, Infosys and TCS: IT stocks that analysts picked ahead of Q3 results

Published on: Jan 02, 2023, 1:23 PM IST
Posted by: Priya Raghuvanshi, Jan 02, 2023, 1:20 PM IST