Indian headline indices managed to post big gains during the last trading session on Friday on the back of positive global cues including strong US GDP numbers. Positive earnings by India Inc in select sectors supported the buying. The BSE’s barometer Sensex zoomed 1,292.92 points, or 1.62 per cent, to end the week at 81,332.72. NSE’s Nifty50 rallied 428.75 points, or 1.76 per cent, to close at 24,834.85.
Some buzzing stocks namely IDFC First Bank Ltd, Adani Ports & Special Economic Zone Ltd and Cipla Ltd are likely to remain under the spotlight of traders for the session today. Here is what Jigar S Patel, Senior Manager – Technical Research Analyst at Anand Rathi Shares and Stock Brokers has to say on these stocks ahead of Monday’s trading session:
Cipla | Buy | Target Price: Rs 1,635 | Stop Loss: Rs 1,495
Apart from the previous trading session, Cipla has been trading within a narrow price range of Rs 1,485-1,535. This indicates a period of consolidation, where the stock’s price has been relatively stable and moving sideways. However, during the previous trading session, Cipla decisively broke above this range with massive volume, suggesting further bullish momentum. On the indicator front, the relative strength index (RSI) has reversed from the 50 level, which further affirms our bullish bias. Therefore, we recommend buying Cipla during pullbacks near the Rs 1,525-1,540 range, targeting an upside of Rs 1,635. To manage risk, a stop-loss should be set near Rs 1,495 on a daily close basis.
IDFC First Bank | Buy | Target Price: Rs 84 | Stop Loss: Rs 68.5
IDFC First Bank experienced a substantial correction of 30 points, after reaching a peak near the Rs 101 mark in September 2023, translating to a 29.34 per cent decline from its high. Recently, the stock found support near the 0.618 retracement level of its previous upmove from Rs 53 to Rs 101. Additionally, a bullish bat pattern has formed precisely at this 0.618 retracement level, making the current levels attractive for buying. Based on these technical indicators, buying in the Rs 72-75 zone is recommended. The target price is set at Rs 84, with a stop-loss placed near Rs 68.5 on a daily close basis.
Adani Ports & Special Economic Zone | Buy | Target Price: Rs 1,650 | Stop Loss: Rs 1,480
Adani Ports has been trading within a price range of Rs 1,480-1,520, excluding the previous trading session, indicating a period of consolidation where the stock’s price has remained relatively stable and moved sideways. However, during the last trading session, Adani Ports decisively broke above this range and closed higher, suggesting further bullish momentum. On the indicator front, the relative strength index (RSI) has reversed from the 50 level, which further supports our bullish outlook. Therefore, we recommend buying the stock during pullbacks near the Rs 1,530-1,540 range, with an upside target of Rs 1,650. To manage risk, a stop-loss should be set near 1480 on a daily close basis.
Disclaimer: Business Today provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.
Disclaimer: Business Today provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.
