Technical Picks: Vinay Rajani of HDFC Securities suggests these three stocks to buy in the near-term
Stock market today: The Indian stock markets continued their robust rally for the second week in a row, supported by strong foreign investments and improvements in domestic economic indicators.
On Monday, the benchmark indices opened significantly higher, reflecting a positive investor outlook. The Nifty 50 index started at 23,515.40, which represented an increase of 165 points or 0.71 percent, while the Sensex jumped by 550 points or 0.72 percent to open at 77,456.27.
At 12:28 IST, Nifty 50 was up by 1.27% at 23,646.85; and Sensex also rose by 1.32 % at 77,925.56.
This favourable trend comes after a remarkable performance in the previous week, during which both indices achieved gains exceeding 4 percent, marking their best weekly results in the past four years.
Experts have pointed out that the global economic and geopolitical landscape remains uncertain for governments, businesses, and consumers. Investors are closely watching disruptions to the long-established world economic and geopolitical order, compounded by an active conflict in Europe, rising tensions with China, and ongoing issues in the Middle East, all of which are contributing to market concerns.
In addition to these global economic changes, US President Donald Trump has declared April 2nd as “Reciprocal Tariffs Day,” emphasizing a tougher trade policy that could affect international trade dynamics.
“April 2nd- the reciprocal tariffs day- is looming large and the uncertainty surrounding that is huge. Investors can wait for clarity to emerge regarding the reciprocal tariffs before taking a call on further investment,” said Dr. V K Vijayakumar, Chief Investment Strategist, Geojit Services Investment.
Market Views – Vinay Rajani, Senior Technical and Derivative Analyst, HDFC Securities
Nifty 50
From the march month’s low of 21,964, Nifty 50 has registered a rally of more than 1650 points. By surpassing 23,400 levels, Nifty 50 has reclaimed its level above 100 and 200 days EMAs. Considering the healthy pullback in a short span of time, we cannot rule out the possibility of running correction and profit booking for short term. However, the positional trend of the Nifty 50 has changed to bullish, and dips should be bought in to. Next target for Nifty 50 is seen neat 24,125, which happens to be 50% of the entire fall seen from all time high of 26,277 to recent swing low 21,964. On the downside, supports are seen at 23,380 and 23,150, which should be utilized to initiate fresh long positions. Positional support for Nifty 50 is seen at 23000, below bullish trend will be violated.
Technical Picks: Stocks to buy in the near-term
Vinay Rajani of HDFC Securities recommends these two stocks in the near term – Healthcare Global Enterprises Ltd, HBL Engineering Ltd, and Johnson Controls-Hitachi Air Conditioning India Ltd.
Buy Healthcare Global Enterprises Ltd (Rs. 526.90) | Target Rs. 578,625| Stop-loss Rs. 481
Stock price is on the verge of breaking out from big consolidation. Stock price is hovering around its 52 week and all time high. Stock is placed above all important moving averages. Daily RSI has reached above 50, indicating a sustainable up trend. Daily MACD is placed above equilibrium and signal line. Stock price has started forming higher top and higher bottom on daily chart.
Buy HBL Engineering Ltd (Rs. 480) | Target Rs. 521| Stop-loss Rs. 462
Daily RSI has reached above 50, indicating sustainable uptrend. Daily MACD is above signal line. Stock is above 10 and 20 days EMA. Stock has broken out from previous swing highs. Indicators and oscillators have turned bullish on daily charts.
Buy Johnson Controls-Hitachi Air Conditioning India Ltd (Rs. 1,850)| Target Rs.1,985 | Stop-loss Rs. 1,758
Stock is placed above 20,50, 100 and 200 DEMA. Indicators and oscillators have turned bullish on daily charts. Stock has been forming higher tops and higher bottoms on the daily chart. The consumer durable sector has been outperforming from last couple of weeks.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
