Benchmark indices opened on a cautious note on Monday, tracking mixed cues from other Asian markets. The sentiment remained tepid amid concerns over a likely escalation in US-China trade war and its impact of trade globally.
The Sensex slipped below the crucial 33,000 level and NSE’s Nifty below the psychologically important 10,000 level on Friday, as first signs of emergence of a global trade war roiled equity markets around the world
BSE’s 30-pack tumbled 1.7 per cent during the week gone by while NSE’s Nifty lost 2 per cent.
“The price-wise correction is over for the market; maybe another 100-200 point fall in Nifty is all that we anticipate,” says Prasanth Prabhakaran, Senior President & CEO, Yes Securities.
But the time-wise correction is going to be a lot more painful and individual stocks will keep on moving up and down. So this is going to be a phase which will be terrible for traders, but will be a good time for investors to hold on to stocks and build a portfolio for the long run, he said.
Based on various brokerage recommendations, here are 10 stock strategies that can potentially deliver handsome gains over the next three weeks or so.
It is very interesting that this counter from the metals pack registered new lifetime high on February 27, when there was turbulence both in the market as well as in the entire metal sector. This is clearly suggesting that this counter has successfully decoupled from the uncertainty related to metals pack and capable of going higher on its own inherent strength, irrespective of market conditions.
This stock has bounced from its support level at Rs 368, which roughly corresponds to the previous intermediate lows, thereby implying a double bottom formation pattern. We also observe that the intense selling seen recently has been reduced in the process, which is encouraging. With the stock on the verge of moving above its 13-day SMA and momentum readings like the 14-day RSI in rising mode and not overbought, we believe the stock has more upside potential.
This stock recently witnessed a steep correction from the Rs 210 level and has bottomed out at Rs 172 level. The counter has the potential to rise further in the coming days. Chart patterns look attractive and with the RSI indicating a trend reversal from the oversold zone. A buy signal has been triggered to maintain a positive bias.
This stock completed its corrective move after testing the high of Rs 1,044. It attempted to find a base in the Rs 810-840 range and is not seen breaking out from this congestion. The prices have ended outside the upper Bollinger Band on the daily chart. The band remains 43 per cent narrower-than-normal and this further increases the chance of a decisive move. MACD remains in continuing buy mode. The RSI is seen breaking out from a formation while marking higher highs. It also shows bullish divergence against the price.
This stock has remained in a dominant downtrend for the major part of the previous year. Currently, after testing low of Rs 34, the stock is seen possibly accumulating in the Rs 34-35 zone and might attempt a reversal. A buy signal has emerged over Stochastic with a bullish divergence against the price. MACD remains in continuing buy mode. On the weekly charts, the prices appear to have taken support at the 200-period moving average. The weekly RSI shows a bullish divergence against the price.>