Nifty MidCap can hit 25,000; these 5 stocks can rally up to 22%, say charts

The Nifty MidCap index can surge near 25,000-mark; whereas, midcap stocks such as AIA Engineering, Alkem Labs, Muthoot Finance, ICICI Prudential Life and UPL can rally another 22%, suggest tech charts

The NSE Nifty MidCap 150 index hit a new life-time high at 22,375 in Wednesday's intra-day trade amid a rally in the broader market. The MidCap index has surged over 3 per cent in the last four trading sessions from a low of 21,681.  On Wednesday, at 12 noon, the Nifty MidCap 150 index was up 0.7 per cent at 22,370; while the benchmark Nifty 50 rose 0.8 per cent at 25,890.  Technical charts suggest the Nifty MidCap index can gain another 11 per cent; whereas the following 5 midcap stocks - Muthoot Finance, ICICI Prudential Life Insurance Company, AIA Engineering, Alkem Laboratories and UPL - can potentially rally up to 22 per cent. 

Nifty MidCap 150

 

Current Level: 22,370  Likely Target: 24,900  Upside Potential: 11.3%  Support: 22,250; 22,050; 21,865; 21,700  Resistance: 23,100; 23,800; 24,350  The Nifty MidCap index looks favourably placed on the charts, with price-to-moving averages action highlighting a bullish bias. The short-term trend is likely to remain positive above 21,700, with intermediate support visible around 22,250, 22,050 and 21,865 levels.  On the upside, the MidCap index can potentially soar to 24,900, suggests the Fibonacci extension chart. On its way up, the index may counter resistance around 23,100, 23,800 and 24,350 levels. 

5 MidCap Stocks to Buy

AIA Engineering

Current Price: ₹3,599  Likely Target: ₹4,400  Upside Potential: 22.3%  Support: ₹3,530; ₹3,325  Resistance: ₹3,610; ₹3,715; ₹3,865; ₹4,100  AIA Engineering has witnessed a breakout on the daily chart. The near-term trend is likely to remain upbeat above ₹3,530; with following support at ₹3,325. On the upside, the stock is testing resistance at the 100-Week Moving Average (100-WMA) at ₹3,610. Breakout shall open the doors for a likely rally towards ₹4,400, with interim resistance around ₹3,715, ₹3,865 and ₹4,100 levels. 

 

 

Muthoot Finance

Current Price: ₹3,315  Likely Target: ₹3,700  Upside Potential: 11.6%  Support: ₹3,236; ₹3,135  Resistance: ₹3,400; ₹3,475; ₹3,575  Muthoot Finance stock can potentially soar to ₹3,700, with interim resistance likely around ₹3,400, ₹3,475 and ₹3,575 levels. The short-term trend is seen positive above ₹3,135, with near support around the 20-Day Moving Average (20-DMA) at ₹3,236. 

 

 

ICICI Prudential Life Insurance Company

Current Price: ₹632  Likely Target: ₹700  Upside Potential: 10.8%  Support: ₹617; ₹606; ₹595  Resistance: ₹652; ₹675  ICICI Prudential Life stock is likely to trade on an upbeat note above ₹625, with broader direction positive above ₹595. Interim support seen around the 100-DMA and 200-DMA at ₹617 and ₹606, respectively. On the upside, the stock may re-test ₹700-mark. Intermediate resistance can be anticipated around ₹652 and ₹675 levels. 

 

 

Alkem Laboratories

Current Price: ₹5,762  Likely Target: ₹6,400  Upside Potential: 11.1%  Support: ₹5,580; ₹5,490; ₹5,450  Resistance: ₹6,000; ₹6,190  Alkem Labs is trading along the higher-end of the Bollinger Bands. The stock seems on course to test ₹6,000-mark in the near-term; beyond which a rally to ₹6,400 seems likely, with interim hurdle at ₹6,190. The short-term trend is seen favourable above ₹5,450, with support around the 20-DMA and 50-DMA at ₹5,580 and ₹5,490, respectively. 

 

 

UPL

Current Price: ₹763  Likely Target: ₹850  Upside Potential: 11.4%  Support: ₹742; ₹720  Resistance: ₹775; ₹810  UPL has rallied 17 per cent in the last one-and-half month, and seen trading in the overbought zone. The bias, however, is likely to remain positive above ₹705. Interim support expected around ₹742 and ₹720. On the upside, the stock may extend the rally towards ₹850, with resistance likely around ₹775 and ₹810.