Analysts' bets
Markets ended lower for the seventh consecutive week amid weak domestic and global cues. Globally, analysts say developments around US-Iran diplomacy and crude oil prices will remain critical. Any progress on a framework for reopening the Strait of Hormuz could ease energy prices and provide some relief to India’s import bill and the rupee, while renewed geopolitical tensions could keep volatility elevated. On the domestic front, industrial production data for August, government budget data, the external debt position and the HSBC Manufacturing PMI reading will be released during the week.
In this context, here are 4 stock recommendations for up to 18% returns in the short term:
Balrampur Chini Mills - Buy | Buying Zone: Rs 670-675 | Stop-loss: Rs 625 | Target: Rs 760-770 | Returns: 15%
Following a price breakout on the candlestick charts across all timeframes, accompanied by very high volumes, the stock has since undergone a retest of its breakout zone. The retracement has occurred on diminishing volumes, pointing towards an absence of significant supply and indicating that the breakout remains technically healthy. The SuperTrend, along with other technical parameters, represents a buoyant undertone, suggesting an opportunity to utilise the recent correction for accumulation.
(Osho Krishan, Chief Manager - Technical & Derivative Research, Angel One)
HBL Engineering - Buy | Buying Zone: Rs 780-790 | Stop-loss: Rs 720 | Target: Rs 875-900 | Returns: 15%
A sharp rebound following the breakout from the Inverted Head and Shoulders pattern on the daily chart has reinforced the broader structural breakout above the descending trendline. Furthermore, the positive crossover of the 20- and 50-day EMA strengthens the bullish setup, while the formation of higher lows indicates improving price structure. Collectively, these technical indicators align to support a sustained bullish undertone and reinforce the positive momentum.
(Osho Krishan, Chief Manager - Technical & Derivative Research, Angel One)
Maharashtra Bank - Buy | Buying Zone: Rs 83-84 | Stop-loss: Rs 77 | Target: Rs 95-98 | Returns: 18%
After taking support from the consolidation breakout zone and the 100-DEMA, which has acted as a reliable cushion on multiple occasions, the counter has now registered a breakout above the descending trendline on the candlestick chart. The subsequent positive crossover in the MACD histogram above the zero line further strengthens the technical setup, indicating improving momentum and supporting the potential for a sustained uptrend in the coming sessions.
(Osho Krishan, Chief Manager - Technical & Derivative Research, Angel One)
Samvardhana Motherson - Buy | Buying Zone: Rs 165.5-166.5 | Stop-loss: Rs 160.5 | Target: Rs 175.5 | Returns: 6%
Samvardhana Motherson International Limited shows a clean horizontal level breakout past Rs 165.64 on the daily chart, backed by expanding volume (14.24M) and an RSI crossing above its signal line at 56.33. Holding firmly above its 20 EMA (163.02) and 50 EMA (159.35), the stock indicates strong bullish momentum toward target levels of Rs 175.
(Virat Jagad, Sr Technical Research Analyst, at Bonanza Portfolio)
Disclosure: This article has been written by Podishetti Akash, who is not a SEBI-registered Research Analyst or an Investment Adviser. Podishetti Akash and his ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The Economic Times Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment. Brokerage disclosures here.
