Stocks to buy this week: ICICI Bank, Kotak Mahindra Bank, YES Bank, Wipro, Tata Steel among 9 technical picks
Geojit Financial Services pointed out that two significant factors are driving the ongoing strong rally in the market. One, FIIs (foreign institutional investors) have turned big buyers having invested around ₹20,000 crore, including bulk purchases, in the last two weeks. Second, the rally is being driven by segments like banking and IT which were underperformers for quite some time.
An important point from recent market experience is that in the tug-of-war between FIIs and DIIs. The latter have been trumping the former consistently by buying from them when they sell and selling to them the very same stocks which they sold, at much higher prices, Vijayakumar observed. "Global and domestic factors, except valuations, are favourable for the market.
It makes sense to remain invested, particularly in large caps. Some profit booking can be considered in mid and small caps where valuations are very high," said Vijayakumar. The market is expected to see healthy gains in the short term but one should not get carried away and bet on stocks with sound fundamentals and healthy technical indicators.
Experts believe the below nine stocks can give healthy returns in the next three to four weeks. Take a look: For the last three to four months, IRCTC has been consolidating in the range of ₹630–750. Recently, it gave a clean breakout from the said range, which looks lucrative.
The breakout on a weekly scale looks genuine since it is accompanied by decent volume. Additionally, it has taken out the one-year-old bear trendline. On the indicator front, the weekly RSI has taken out its previous swing high of 60 and is currently placed near 68 levels, along with the weekly DMIs looking positive, which confirms our bullish stance on the
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