DCM Shriram, Jindal Steel: Mehul Kothari's stock picks in this volatile mkt

Despite the market volatility, the stock of JINDAL STEEL has been doing really well recently

BUY DCM SHRIRAM IND | TARGET: Rs 118 | STOP LOSS: Rs 88

The technical price structure of majority of the sugar stocks indicates positive price movement in the coming week. The stock of DCM Shriram, too, has confirmed a breakout from the range of 88 – 98 on the daily scale. The breakout was accompanied with rise in volumes which indicates accumulation. Thus, we advise traders to buy the stock in the range of Rs 101 – 97 with a stop loss of Rs 88 on closing basis for the upside potential target of Rs 118 in coming 1 – 2 months.

BUY JINDAL STEEL | TARGET: Rs 510 | STOP LOSS: Rs 430

Despite the market volatility, JINDALSTEL has been doing really well recently. The stock has confirmed a fresh breakout from its previous swing high of 462 with a decisive close. We are also witnessing a breakout in daily RSI above 60 mark. Thus, traders are advised to buy the stock in the range of Rs 468 - 458 with a stop loss of Rs 430 on closing basis for the upside potential target of Rs 510 in coming 1 – 2 months.

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Disclaimer: Mehul Kothari is AVP – Technical Research at Anand Rathi Shares & Stock Brokers. He may or may not hold any position is the above mentioned stocks. Views are personal.