9 stocks that are flashing BUY signals on the tech charts

For the last four months, the stock prices have been gyrating within a broad range of Rs 280 and Rs 330. This said, higher range acted as a stiff hurdle for more than four times and finally it has been breached, confirming a bullish breakout. The mentioned price structure resembles a ‘Channel’ breakout and is seen with a good increase in volume. In addition, the said breakout has resulted in prices to enter uncharted territory and suggests the trend is in a strong grip of the bulls. Major oscillators are positively placed below the overbought territory indicating further upside potential in the near term. With the above price pattern analysis, the analyst senses a strong outperformance in this counter after the recent consolidation and hence recommends a buy at current levels for a target of Rs 379 over the next 14 sessions. The stop loss should be placed below Rs 317.

[Analyst: Sameet Chavan, Chief Analyst Technical and Derivatives, Angel Broking]

This heavyweight auto stock has given a bullish range breakout on the daily chart and this breakout is seen with a rare bullish candlestick pattern known as ‘Bullish Kicking’. In addition, the stock is witnessing a bullish gap and this can be termed a ‘Breakaway’ gap. The above signals are seen with a spurt in volume providing credence. Moreover, prices are well above key moving averages and oscillators are positively placed supporting the buy call. With all the above technical evidence, the analyst senses a strong outperformance by this counter in the near term and hence recommends a buy at current levels for a target of Rs 7,480 over the next 14 sessions. The stop loss should be placed below Rs 6,970.

[Analyst: Sameet Chavan, Chief Analyst Technical and Derivatives, Angel Broking]

The weekly timeframe chart of Raymond indicates a formation of larger consolidation pattern in the last few months. The stock price is forming an ascending triangle type pattern and is now making an attempt of upside breakout at Rs 313-314 levels. Normally, the formation of the ascending triangle results in an upside breakout of the larger consolidation movement. One may expect the upside pattern target of around Rs 380-390 levels, which could be achieved in the next few months. Weekly 14-period RSI shows a positive indication and the volume is picking up. Buying can be initiated in Raymond at CMP, add more on dips down to Rs 308, wait for the upside target of Rs 355 in the next 3-4 weeks. Place stop loss of Rs 300.

[Analyst: Nagaraj Shetti, Technical Research Analyst, HDFC securities]

After showing a minor decline or sideways consolidation, the stock price of Jyothy Lab has shifted into an upside bounce. Tuesday’s upmove could be considered as an upside breakout of the narrow range movement or its immediate resistance. The short term trend seems to have turned positive. The formation of positive candlestick pattern as per daily and weekly timeframe charts. Volume has started to rise, along with the up move in the stock price. The overall bullish chart pattern of the stock price indicates a long trading opportunity. One may look to buy Jyothy Labs at CMP, add more on dips down to Rs 135 and wait for the upside target of Rs 158 in the next 3-4 weeks. Place a stop loss of Rs 131.

[Analyst: Nagaraj Shetti, Technical Research Analyst, HDFC securities]

IOL CP was one of the fastest rallying stock of 2020 as price moved up from March low of Rs 151 to August 24 high of Rs 900. Price has since then corrected to make of low of Rs 650 in October before moving up to current levels of Rs 730. It seems that the August-October decline is beginning to reverse as price action shows a distinct change in trend characteristics. If we join a line connecting the lows of March 2020 to the second low of Jun 2020, the price has taken support at this rising trendline and we are beginning to see a reversal of signals from the lows. A gap two days ago is a sign that buyers are seeing some urgency in the stock, the analyst said. He recommends buying the stock around Rs 730-740, keeping a stop below 660 for an upside target of Rs 850 and Rs 985. The holding period should be around 6-8 weeks.

[Analyst: Manish Shah, Trader, Researcher, Trading Coach]

BHEL is a premier PSU stock that seems to be on a reversal of the trend. Price witnessed a significant rally, moving up from Rs 20 to Rs 44 in a matter of 5 months (between March and July). This is a significant move and in terms of Elliott wave count, it is a complete 5-wave sequence and wave 1 or A of the impulse. A corrective decline of this impulse was when price declined from a high of Rs 42 in August 2020 to the low of Rs 26 in 2020. This is the completion of wave 2. Next move could be phenomenal which could last for 3- 6 months, the analyst said. Price now shows a breakout from a double bottom signaling a clean reversal of the trend. Price has also closed above its 200 period moving average which could trigger a major change in trend. One can buy around Rs 32-30, keeping a stop below Rs 27.5 and hold for a target of Rs 37 and above that to Rs 44. Buy with a holding period of 6-8 weeks, the analyst said.

[Analyst: Manish Shah, Trader, Researcher, Trading Coach]

The stock has been trading upwards of the 200MA and the stock has currently breached a resistance level of Rs 143. We can expect a target of Rs 160-162 in a short period of time. The analyst recommends a buy with a stop loss of Rs 135.70.

[Analyst: Ashis Biswas, Head of Technical Research, CapitalVia Global Research]

BBTC has breached the upper trend line of its downward moving channel. The stock is moving above its 200 MA which is indicating strong sentiments about the stock. One can buy with a target price of Rs 1,520 with a stop loss of Rs 1,160.

[Analyst: Ashis Biswas, Head of Technical Research, CapitalVia Global Research]

Biocon has been trading in an upward trending channel. The analyst recommends a buy for Biocon above the level of Rs 440 for a target of Rs 485-490 with a stop loss of Rs 386.70 in the short term.

[Analyst: Ashis Biswas, Head of Technical Research, CapitalVia Global Research]