The stock has provided a fresh breakout from its one-month consolidation. It has also surpassed the centerline of the Bollinger band which is called the exponential moving average and is now heading towards the upper end of the band which is placed at 365 levels. The momentum indicator RSI has also reversed from its oversold territory and is showing signs of reversal which hints at further positive momentum in the counter. It is also trading well above its short-term and long-term moving averages. Based on the above rationale, we can expect a fresh momentum in the counter.
BUY ICICIGI | TARGET: Rs 1,340 | STOP LOSS: Rs 1,250
The stock is on the verge of a breakout from an inverted head and shoulder pattern on the daily chart. The neckline of the same is placed at 1,290 levels and a breakout above the same will provide further momentum towards 1,340 levels. It is also trading above its long term 200-DMA which is placed at 1,250 levels and is likely to act as an immediate support. The momentum indicators and oscillators have turned positive on the daily chart which hints at a strong pullback in the short term.
BUY HINDPETRO | TARGET: Rs 222 | STOP LOSS: Rs 198
The stock earlier formed a strong base at around 160 levels and has started making a higher top and higher bottom formation on the daily chart. It has also reclaimed its 200-DMA placed at around 204 levels which hints that the base is shifting higher. The momentum indicators and oscillators are in the buy mode on the weekly as well as daily scales which hints at a further positive momentum in the counter. The stock has also witnessed a build-up of a long position with the addition of approximately 5 per cent open interest.
Disclaimer: Nilesh Jain is Technical and Derivatives Research - Equity Research at Anand Rathi Shares and Stock Brokers. He may have positions in one or all of the above mentioned stocks. Views are personal.  "Markets, Buy, Sell, Stocks")
