Castrol, IRFC, Oil India rally up to 50% so far in July; trading guide here

As many as 71 out of the Nifty 500 stocks have surged more than 10 per cent in the first-half of July 2024 so far; here are the key levels to watch on 5 buzzing stocks of the current month.

The month July 2024 so far has been a stock picker’s paradise, with several prominent stocks delivering bumper returns in the first 15 days of the trading month, as benchmark indices scaled new highs.

Expectations of a pro-growth Budget, rate cut in the US and strong liquidity back home, have been some of the key driving forces behind the recent stock market rally.

As many as 71 stocks out of the Nifty 500 have delivered over 10 per cent returns so far in July. In comparison, the benchmark Nifty 50 index has gained 2.4 per cent, and the broader Nifty 500 index has advanced 2.9 per cent thus far this July.

Among individual stocks, Rail Vikas Nigam (RVNL) stands tall, with over 50 per cent surge. The stock from Rs 417 at the end of June has surged to Rs 626 as of July 15. The railway sector related stock has witnessed frenzied buying on the back of new order flows from the Indian Railways.

Castrol India and Oil India have soared 33 per cent each. Mazagon Dock Shipbuilders, HBL Power, Indian Railway Finance Corporation (IRFC), Ircon International, NLC India, Cochin Shipyard, Railtel Corporation of India, REC, The New India Assurance Company, Rashtriya Chemicals and Fertilizers (RCF), Firstsource Solutions and MMTC were the other major gainers - up 20 - 26 per cent thus far.

Given the sharp gains at these counters, here's a technical check on select 5 stocks for the likely trend ahead along with key levels to track on the buzzing shares this July.

RVNL

Current Price: Rs 613

Support: Rs 585; Rs 490

Resistance: Rs 655

RVNL stock is trading in a fairly overbought zone across time-frame. The stock has been riding high on the back of a momentum-driven rally. The long-term chart suggests that the bias for the stock is likely to remain positive as long as the stock sustains above Rs 490 levels.

In the near-term some resistance is seen at Rs 655 levels, and support at Rs 585. CLICK HERE FOR THE CHART

Oil India

Current Price: Rs 631

Support: Rs 597; Rs 582; Rs 545

Resistance: Rs 673

The near-term bias for Oil India is likely to remain upbeat as long as the stock trades above Rs 597 levels; below which next significant support exists at Rs 582 and Rs 545. On the upside, the stock may face some resistance around the Golden Ratio of the previous swing at Rs 673 levels. CLICK HERE FOR THE CHART

IRFC

Current Price: Rs 216

Support: Rs 212; Rs 205; Rs 185

Resistance: Rs 239

IRFC is likely to trade with a positive bias as long as the stock holds above Rs 212 levels in the near-term. Break and trade below Rs 212, can see the stock dip towards Rs 205. 

The price-to-moving averages action remains favourable across time-frames on the charts. The daily chart suggests that the short-term bias will remain positive as long as the stock holds above Rs 187 levels. Resistance for the stock can be expected around Rs 239. CLICK HERE FOR THE CHART

Castrol 

Current Price: Rs 274

Support: Rs 254; Rs 245

Resistance: Rs 285

Castrol stock is expected to trade with a positive bias as long as the stock sustains above Rs 254 and Rs 245 support levels, shows the long-term charts. On the upside, sustained trade above Rs 274 can lead to fresh energy at the counter. Resistance for Castrol can be expected around Rs 285. CLICK HERE FOR THE CHART

Mazagon Dock Shipbuilders

Current Price: Rs 5,425

Support: Rs 5,200; Rs 4,750; Rs 4,500

Resistance: Rs 5,585

Despite the near 26-per cent surge at the counter, Mazagon Dock stock seems to be taking a breather. The near-term bias is likely to remain tepid as long as the stock trades below Rs 5,585. Having said that, the overall trend is likely to remain positive as long as the stock quotes above Rs 4,500 levels.

For now, the recent low at Rs 5,200 is likely to act as near-term support, below which the stock may seek support around its 20-DMA (Daily Moving Average) around Rs 4,750 levels. CLICK HERE FOR THE CHART