15 solid money-making ideas you can pick for less than Rs 10,000
After the recent selloff, 50-share index formed a bullish inverted hammer on weekly chart.
After the recent selloff, the 50-share index formed a bullish inverted hammer on the weekly chart, which spells relief for long-term traders.
“Nifty50 may face strong resistance at higher levels and it would be a challenging task for the index to surpass the 10,000 mark,” Angel Broking said in a note. “On the downside, the index is likely to slide towards the daily ‘89 EMA’ placed in the vicinity of 9,670 and 9,620 levels.”
Based on various brokerage recommendations, here are 15 stock strategies that can potentially deliver solid gains over the next 11-21 sessions:
Sagar Doshi, Technical Analyst, Edelweiss Broking
Ambuja Cement | Buy | Target price: Rs 320 | Stop loss: Rs 253
This stock is trading near its all-time high level. The RSI is in the bullish zone and showing signs of strength. The stock is near to its 30 months consolidation break out level, a break above Rs 281 could lead the stock higher.
Hexaware | Buy | Target price: Rs 310 | Stop loss: Rs 254
This stock recently saw significant long buildup that triggered a breakout from its 14-week consolidation. The stock is trading at its 52-week high levels and is one of the outperformers in the IT basket.
Milan Vaishnav, CMT, Technical Analyst, Gemstone Equity Research and Advisor
ITC | Buy | Target price: Rs 295 | Stop Loss: Rs 272
The stock has confirmed its support at the 200-DMA. The daily MACD has shown a positive crossover and it is now bullish while trading above its signal line. RSI has marked a fresh 14-period high which is bullish. A fresh signal over Stochastic has also emerged with a bullish divergence. Some upward revision in price is expected over the next couple of days.
State Bank of India | Buy | Target price: Rs 292 | Stop loss: Rs 270
This stock has seen a sharp corrective decline from Rs 317 levels and has taken strong support twice at its 200-DMA which currently stands at Rs 274.67. A small hammer is formed and it is sign of a potential technical pullback as it has occurred near a support area. Also, the 200-DMA levels coincide with a strong multi-month pattern support as well. MACD has flattened its trajectory and RSI has reversed from an oversold area which is a positive sign. Some technical pullback is likely on this counter.
Jay Thakkar, CMT, Assistant Vice President-Equity Research, Anand Rathi
HPCL | Buy| Target price: Rs 496 | Stop loss: Rs 424
After having broken the sideways channel, the HPCL stock has been forming higher tops and higher bottoms with a clear buy crossover in its momentum indicator. The stock has recently provided a breakout from its previous top thus confirming the uptrend. It is also moving higher in an upward sloping parallel channel; hence the upper end of the channel is the next target whereas the previous low is the stop loss.
United Spirits | Buy | Target price: Rs 2,770 | Stop loss: Rs 2,540
This stock has seen a breakout from the downward sloping parallel channel with a buy crossover on its hourly charts and it is likely to provide a buy crossover on the daily charts as well from the zero reference line. It s now likely to inch higher towards its previous highs whereas the previous lows will act as a support, hence the stop loss should be placed below those levels.
Aditya Agarwala, Technical Research Analyst, YES Securities
Bharat Financial Inclusion | Buy | Target price: Rs 950-1000 |Stop loss: Rs 820
On the weekly chart, Bharat Financial Inclusion is on the verge of a breakout from an Ascending Triangle pattern portending to an extension of uptrend. On the daily chart it continues to form higher highs and higher lows affirming the strong bullishness dominant in the stocks. RSI has also broken out of the upper end of the Bollinger Bands and is trading above the 60 level, portending to an extended uptrend.
Aptech | Buy | Target price: Rs 247-260 | Stop loss: Rs 212
On the weekly chart, Aptech has broken out of a symmetrical triangle pattern, suggesting a possible reversal of the bullish trend on the counter. Neckline of the pattern is placed at Rs 228; a sustained trade beyond the neckline on good volumes can extend the uptrend. RSI on weekly chart has taken support at the 40 level and turned upwards breaking out of the Bollinger Band squeeze portending to higher levels in the coming trading sessions.
Nagaraj Shetti, Technical Research Analyst, HDFC Securities
Container Corporation of India | Buy | Target price: Rs 1380 | Stop loss: Rs 1170
As per the weekly timeframe, this stock was moving in a larger consolidation pattern over the past few weeks and has witnessed a sharp upside breakout of the Rs 1,220 level during this week. This upside breakout could open up a beginning of sharp upside momentum in the stock price with increased participation (volume rose during this week’s upside breakout). Momentum oscillators like the 14-period RSI is showing positive signal, which is indicating a strengthening of upside momentum. The overall positive chart pattern is indicating a long trading opportunity in Container Corp.
Bharat Petroleum Corporation | Buy | Target price: Rs 560 | Stop loss: Rs 470
After a sharp bounce during previous week, BPCL as per weekly timeframe has slipped into minor correction during last week. The downward correction was taken out during this week with a sharp upside movement from the lows. Presently, the stock price is making attempt to stage upside breakout of the key hurdle of around Rs 510-515 levels and a sustainable move above this area could open up further sharp upside for the stock price ahead. The momentum oscillator, too, is showing a positive indication, suggesting further bounce in the stock.
Dharmesh Shah, Head Technical, ICICI Securities
Maruti Suzuki | Buy | Target price: Rs 8,180 | Stop loss: Rs 7,302
This stock is seen attracting demand at the rising 50 day EMA and 61.8% retracement of the last rising segment. We believe the current pullback provides fresh entry opportunity to ride the secular uptrend.
Reliance Capital | Buy | Target price: Rs 855 | Stop loss: Rs 748
The sideways consolidation over the last two weeks occurring above the recent breakout area of Rs 700 indicates higher base building process that will act as launch pad for the next up move.
Dyaneshwar Padwal, AVP-Technical Analysis, KIFS Trade Capital
Bata India | Buy | Stop loss: Rs 600-620
Bata India has posted the cup and handle pattern break out on weekly chart at Rs 600 level. With the supportive oscillator RSI has posted trend line breakout which eventually push RSI higher adding strength to the underline. And stock has completed the correction within the 50% Fibonacci Retracement of previous bull move which add value to our conviction. This stock has potential to travel behind uncharted territory. Strong support placed at Rs 600-620.
Vikas Jain, Senior Research Analyst, Reliance Securities
Mahindra & Mahindra | Buy | Target price: Rs 1445-1495 | Stop loss: Rs 1,330
Consolidation around its long-term moving average and recovery in key technical indicators from their oversold zone is signalling that the stock is on a verge of turnaround and soon it will resume its up-trend.
Arvind | Buy | Target price: Rs 397 | Stop loss: Rs 354
This stock is consistently making higher bottoms after witnessing a sharp decline from its life-time-high. Key technical indicators are positively poised above their neutral line and in favor of turnaround in the stock.
(Views and recommendations given in this section are the analysts' own and do not represent those of ETMarkets.com. Please consult your financial adviser before taking any position in the stock/s mentioned.)