Trading Strategy: HDFC Assets Management Company | Buy | Target Price: Rs 2,970-3,085 | Stop Loss: Rs 2,525, Narayana Hrudayalaya | Buy | Target Price: Rs Rs 1,213-1,285 | Stop Loss: Rs 1,013, SBI Life Insurance Company | Buy | Target Price: Rs 1,430-1,475| Stop Loss: Rs 1,322, Bharti Airtel | Buy | Target Price: Rs 975-1,025 | Stop Loss: Rs 880,
SBI Life has decisively breached a key medium-term resistance zone near the Rs 1,340 mark on the weekly chart, indicating a sustained upward momentum.
After observing Ganesh Chaturthi, the domestic equity market will reopen for trading on Wednesday. Previously, key stock indices had concluded an 11-day winning streak on Monday, just before the commencement of the US Fed’s two-day policy review. The BSE Sensex experienced a decline of 241.79 points, equivalent to 0.36 percent, closing at 67,596.84, while the NSE Nifty50 relinquished 59.05 points, or 0.29 percent, settling at 20,133.30.
Today, some specific stocks such as Bharti Airtel, HDFC Asset Management Company, SBI Life Insurance Company, and Narayana Hrudayalaya might witness noteworthy activity. Here’s what Axis Securities has to share regarding these stocks as we approach Wednesday’s trading session:
HDFC Assets Management Company | Buy | Target Price: Rs 2,970-3,085 | Stop Loss: Rs 2,525
On the weekly chart of HDFC AMC, a significant breakout is evident, as the stock has surged beyond its consolidation range of Rs 2,600-2,360 levels. This robust rally is accompanied by a pattern of higher high-lows on the weekly chart, forming an upward-sloping trendline that suggests a favorable trajectory. Additionally, the stock has established a medium-term support level at Rs 2,364, which aligns with a 23 percent Fibonacci retracement from the price range of Rs 1,590-2,600.
Furthermore, the weekly strength indicator RSI has exhibited a crossover above its reference line, generating a ‘buy’ signal. Considering this analysis, the anticipated upside target for HDFC AMC is in the range of Rs 2,970 to Rs 3,085 levels.
Narayana Hrudayalaya | Buy | Target Price: Rs Rs 1,213-1,285 | Stop Loss: Rs 1,013
On the weekly chart, Narayana Hrudayalaya has showcased a significant breakout, surging beyond the consolidation range of Rs 1,070-980 following a sharp rally. Throughout the pattern formation, trading volumes dwindled; however, a notable surge in volumes at the breakout point indicated increased participation and heightened interest.
A noteworthy observation is that the stock has firmly established a medium-term support level at Rs 988, which aligns with a 23 percent Fibonacci retracement from the price range spanning from Rs 705 to Rs 1,077.
Moreover, the weekly strength indicator, RSI, has confirmed its strength by crossing above its reference line, generating a ‘buy’ signal. Based on this analysis, the anticipated upside target for Narayana Hrudayalaya is within the range of Rs 1,213 to Rs 1,285 levels.
SBI Life Insurance Company | Buy | Target Price: Rs 1,430-1,475| Stop Loss: Rs 1,322
On the weekly chart, SBI Life has delivered a convincing breakthrough above its medium-term ‘multiple resistance’ zone, located around the Rs 1,340 mark. This breakthrough signifies a strong continuation of the upward momentum for the stock.
Currently, the stock is adhering to a medium-term rising channel, originating from a low point of Rs 1,054. Notably, it recently found support at the lower boundary of this channel and is presently trending toward the upper boundary.
Furthermore, SBI Life is positioned favorably above critical moving averages, including the 20-day, 50-day, 100-day, and 200-day daily Simple Moving Averages (SMAs), which indicates a positive momentum in the stock.
Additionally, the weekly strength indicator, RSI, has issued a ‘Buy’ signal by crossing above its reference line. Considering this analysis, the anticipated upside target for SBI Life stands in the range of Rs 1,430 to Rs 1,475 levels.
Bharti Airtel | Buy | Target Price: Rs 975-1,025 | Stop Loss: Rs 880
Examining the weekly chart, Bharti Airtel has made a notable breakout above a recent swing high at Rs 902, marked by a robust bullish candle. This breakout strongly suggests the continuation of the medium-term uptrend.
It’s worth emphasizing that the stock has securely established a medium-term support level at Rs 988, aligning closely with a 38 percent Fibonacci retracement from the price range stretching from Rs 736 to Rs 902.
Furthermore, the stock’s close above the weekly Bollinger band has triggered a ‘buy’ signal. Additionally, the weekly strength indicator, RSI, has produced a ‘buy’ signal with its crossover above the reference line.
Considering this analysis, the projected upside target for Bharti Airtel is within the range of Rs 975 to Rs 1,025 levels.
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