Mehta Equities’ stocks recommendation of the day

financialexpress.com:

By Riyank Arora

On Tuesday, the benchmark faced a minor resistance at the 19,800 marks. The Nifty ended 89 points higher, while the Sensex was up by almost 275 points. Among sectors, almost all the major sectoral indices witnessed significant buying interest, whereas the Nifty IT and Nifty PSU Bank sectors witnessed some profit booking. Technically, after a gap up opening, the market moved in a range of 80 points between 19,750 and 19,830. Any move above 19,830 should trigger the next up-move and push the upside towards 19,875 and 20,000. Immediate support is looking to be around 19,750, below which the downside can extend towards 19,670 and 19,600.

The stock has given a significant breakout above the anchor VWAP resistance at 3205. Given the overall strength of the trend and the stock consistently forming higher highs and higher lows, it appears poised for new highs. The stock is likely to gain momentum above the 3300 mark and could rise sharply by another 100-150 points in a momentum rally. 

The stock has exhibited a robust breakout above the downtrend line, with buyers firmly holding the anchor VWAP zone. With the stock consistently forming higher highs and higher lows, it presents a compelling buying opportunity. Setting the ideal stop loss at the latest swing low of 170, the target is anticipated to be around 190.

The stock has given a strong breakout above the resistance level of 970. According to daily and weekly charts, there is no overhead resistance in the stock until the 1050 levels. The stock’s positive and robust trend, characterized by higher highs and higher lows, remains intact. A surge in volumes is signalling positive momentum for the stock, indicating a favorable outlook.

(Riyank Arora, Technical