Stocks to buy: Nifty may hit 16,050, Bank Nifty 35,700 in near-term; charts show HDFC Life, others may rally

The main target ought to be on the Know-how, Metals and the company going through financial institution. Picture: Reuters

By Shrikant Chouhan

The Nifty/Sensex has risen by 1800/5400 factors within the final 37 days. Nifty Metal, IT, Midcap and Small Cap indices are the highest performers. Reliance Industries Ltd (RIL) has additionally contributed roughly 20 per cent within the present up transfer of the market. FMCG and Pharma are far behind this time. The Nifty/Sensex has a powerful base between 15500/ and 15600. Nonetheless, presently, the market is buying and selling on the highest level of the present up transfer and we’re witnessing combined response available in the market.

The stock-specific exercise is rising day-to-day, which is a sign of a “cautiously optimistic” strategy from the merchants. Because the market is closed above the extent of 15850/52750 we’d see the degrees 16050/53300 within the close to time period. Helps for the market exists at 15800/52600 and at 15750/52300. The technique ought to be to purchase indices solely on plunges. The Financial institution-Nifty is heading for the degrees of 35700. Should be little cautious whereas including lengthy positions with a long run view. The main target ought to be on Know-how, Metals and the company going through financial institution.

India Cements
BUY, CMP: Rs 188.4, TARGET: Rs 199, SL: Rs 183

Put up formation of double backside chart sample a powerful restoration is seen within the counter with incremental quantity exercise on the day by day chart, moreover, the inventory has given a breakout of the availability pattern line which endorses reversal of the pattern for additional up transfer.

HDFC Life Insurance coverage Firm
BUY, CMP: Rs 692.55, TARGET: Rs 727, SL: Rs 675

Put up breakout from the degrees of 685 the inventory has been hovering in a range-bound mode however latest bullish engulfing candlestick formation with rising quantity signifies that the bulls are again and the inventory is prepared for its uptrend continuation within the close to time period.

IndusInd Bank
BUY, CMP: Rs 1,034.45, TARGET: Rs 1,085, SL: Rs 1,010

For the previous few buying and selling periods, there’s a slim vary exercise throughout the rising channel of the counter with none significant rise, on the similar time a surge in quantity is seen close to the breakout zone together with Inverted Hammer candlestick sample which hints at a powerful up transfer in coming periods.

Mphasis
BUY, CMP: Rs 2,061.45, TARGET: Rs 2,165, SL: Rs 2,020

The inventory has proven a exceptional rally prior to now many months and the pattern of the inventory remains to be within the rising route. The Increased excessive and better low chart formation is clear within the counter, moreover, the rise in quantity exercise in the previous few days is indicating bullish continuation sample within the close to future.

(Shrikant Chouhan is Government Vice President, Fairness Technical Analysis at Kotak Securities. Views expressed are the writer’s personal.)