ONGC, HAL, SJVN: 5 PSU stocks that can rally up to 25% by year-end

PSU stocks such as ONGC, HAL, Oil India, SJVN and BEL have retraced up to 50% of its previous rally; tech charts indicate that as long as the recent lows are protected a bounce back seems likely.

Several PSU stocks have declined up to 30 per cent from their respective highs amid the current market correction. In the process, PSU stocks such as ONGC, Oil India, SJVN, Bharat Electronics and Hindustan Aeronautics have retraced up to 50 per cent of the previous rally.

 

The 38.2 per cent, 50 per cent and 61.80 are the key Fibonacci ratios in terms of a market rally and retracements. Given the fact that these 5 stocks have completed these retracements, these could potentially recoup some of the lost ground going ahead.

 

Here's a technical check on these 5 PSU stocks: 

 

 

ONGC

Current Price: Rs 262

Upside Potential: 21.8%

Support: Rs 255; Rs 230

Resistance: Rs 282; Rs 300

 

The ONGC stock plunged over 25 per cent from its high of Rs 342 hit in August 2024 to a low of Rs 255 last week. In the process, ONGC has completed its 38.2 per cent retracement of its breakout rally from December 2022 to the summit.

 

  Going ahead, as long as the support at Rs 255 stands the stock can attempt a pull-back towards the weekly super trend line placed at Rs 319 levels. Thus, indicating a potential upside of nearly 22 per cent. Interim resistance for the stock can be expected around Rs 282 - its 200-DMA (Daily Moving Average) and Rs 300-mark. CLICK HERE FOR THE CHART

  The long-term chart shows that in case the support of Rs 255 fails to hold, the stock could seek support around its 20-MMA (Monthly Moving Average) at Rs 230 levels. 

 

Bharat Electronics (BEL)

Current Price: Rs 302

Upside Potential: 12.6%

Support: Rs 297; Rs 268

Resistance: Rs 315

 

BEL too witnessed a 38.2 per cent retracement of its earlier rally, starting from May 2023 to a high of Rs 338 in July 2024. At present, the stock is seen attempting to reclaim the 20-WMA hurdle, which stands at Rs 297. Below which, support for the stock exists at Rs 268.

 

Break and sustained trade above the same can help the stock spurt to Rs 340 levels, with interim resistance likely around Rs 315. CLICK HERE FOR THE CHART

 

Hindustan Aeronautics (HAL)

Current Price: Rs 4,463

Upside Potential: 21%

Support: Rs 3,975; Rs 3,750

Resistance: Rs 4,530; Rs 4,735

 

HAL stock had witnessed a phenomenal 765 per cent surge from levels of Rs 655 in March 2022 to an all-time high of Rs 5,669 in July 2024. Post which, the stock tanked to a low of Rs 4,075; the 38.2 per cent retracement of the earlier rally indicates likely support for the stock at Rs 3,750, with interim support likely around the super trend line at Rs 3,975.

   

At present, the stock is seen facing resistance around its super trend line on the daily scale at Rs 4,530; above which a key resistance stands at Rs 4,735 - the 100-DMA. The stock will need to break and trade consistently above Rs 4,735 for a possible pull-back towards 5,400-odd levels. CLICK HERE FOR THE CHART

 

Oil India

Current Price: Rs 509

Upside Potential: 24.8%

Support: Rs 462; Rs 441

Resistance: Rs 579; Rs 600

 

Oil India stock has retraced nearly 50 per cent of its previous rally from levels of Rs 125 in November 2022 to a high of Rs 768 in August 2024, as the stock hit a low of Rs 462 last week. The recent low also coincides with the 50-WMA (Weekly Moving Average) support which stands at Rs 441.

 

Thus, as long as the stock manages to sustain above these support levels, it could attempt a pull-back towards Rs 635. Interim resistance for the stock can be expected around Rs 579 and Rs 600 levels. CLICK HERE FOR THE CHART

 

SJVN

Current Price: Rs 113

Upside Potential: 16.8%

Support: Rs 105; Rs 97

Resistance: Rs 124

 

The SJVN stock is consistently seen seeking support around its super trend line on the weekly scale, which stands at Rs 105. As long as this support level holds, the stock can potentially attempt a bounce back towards Rs 132. Interim resistance for the stock is seen at Rs 124. On the flip side, a break of Rs 105 could lead to a dip towards Rs 97 levels. CLICK HERE FOR THE CHART