Breakout on the cards? Tata Steel, Vedanta, SAIL can rise up to 12%

The metal index is on the verge of breakout, if crosses 5,800 mark, another 6 per cent jump is very certain.

NIFTY METAL
Likely target: 6,100 (after crossing 5,800 decisively)
Upside potential: 5%

The recent correction in the overall market have also dented the metal segment, however, the index managed to hold on the most crucial support of 5,200 levels, which has been standing still since July 2021. Going forward, any up move above 5,800 may see a sharp breakout towards 6,100 levels, according to the daily chart. The candlestick formation indicates a strong positive trend in current sessions. CLICK HERE FOR THE CHART
 

TATA STEEL LTD (TATASTEEL)
Likely target: Rs 1,275
Upside potential: 10%

The shares of Tata Steel did break the 200-day moving average (DMA) recently, but managed to bounce back holding the support of Rs 1,050 levels, which is the 50-weekly moving average (WMA). The immediate resistance comes at Rs 1,275 level and as long as the 50-WMA support stays strong, the stock has enough strength to hustle the resistance. CLICK HERE FOR THE CHART

 
VEDANTA LTD (VEDL)
Likely target: Rs 385
Upside potential: 8.50%

The rising channel pattern is intact for Vedanta shares, as per the weekly chart. This pattern suggests a positive upside towards Rs 385, which seems to be the selling pressure level. The immediate support comes at the Rs 345 and Rs 330 levels, based on the daily chart. A fresh breakout may emerge once the hurdle of Rs 385 is conquered. In that case, the shares of Vendanta may see another 5% to 8% gain. CLICK HERE FOR THE CHART

STEEL AUTHORITY OF INDIA (SAIL)
Likely target: Rs 130
Upside potential: 12%

The stock is trading in a broad consolidation Rs 130 to Rs 90 levels. The technical indicator, Relative Strength Index (RSI) has formed an “Inverse Head and Shoulder”, suggestive of the positive strength. And now, with a positive crossover of the Moving Average Convergence Divergence (MACD) , once can see the shares of Steel Authority of India attempting to rally in the direction of Rs 130 levels. The immediate support comes at Rs 105 level, as per the daily chart. CLICK HERE FOR THE CHART

JSW STEEL Ltd (JSWSTEEL)
Likely target: Rs 770
Upside potential: 10%

After dipping below the 200-DMA, the shares of JSW Steel managed to bounce back with a strong bullish sentiment. This move needs to cross the immediate resistance of Rs 700 and if it does that, the breakout may see a sharp upside in the direction of Rs 770, which is the next hurdle mark, as per the daily chart. The support remains at Rs 647, its current 200-DMA. CLICK HERE FOR THE CHART