HAL, Mazagon Dock: Defence stocks may see up to 10% upside on robust charts

Defence related stocks continue to trade in overbought territory, as momentum sees elevated sentiment.

Shares of Mazagoan Dock Shipbuilders, a premier war-shipbuilding yard producing warships for the Indian navy, sets a new all-time high on Wednesday. The stock has doubled so far in the current year. 

Similarly, Hindustan Aeronautics has surged 52 per cent, while Bharat Dynamics and Bharat Electronics soared 30 per cent in this year, respectively.

Here’s the technical outlook for these defence related stocks:-

Hindustan Aeronautics Ltd (HAL)

Likely target: Rs 4,300

Upside potential: 10%

Post unearthing accumulation closer to Rs 3,600-mark, Hindustan Aeronautics shares displayed a strong reversal that could reach a new historic peak, as per the current chart formation on the daily set-up.

The trend