Indian equity markets extended their winning streak to a fifth consecutive session on Wednesday, with the BSE Sensex rising 383.55 points, or 0.50%, to settle at 77,301.40. According to reports from LiveMint, the index climbed as much as 478.19 points, or 0.62%, to hit 77,396.04 during the session, marking its highest closing level in more than two months. The NSE Nifty 50 also ended higher, rising 149.75 points, or 0.63%, to close at 23,960.60. Market breadth remained firmly positive with 2,948 shares advancing, 1,260 declining and 170 remaining unchanged. Over the five sessions through Wednesday, the Sensex gained more than 4,000 points, or around 5%. Buying in heavyweight financial, FMCG and automobile stocks, supported by foreign fund inflows and easing crude oil prices, lifted investor sentiment.
According to Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, as reported by LiveMint, the market continued its excellent uptrend with Nifty 50 closing higher by 149 points. A long bull candle was formed on the daily chart that has surpassed the key upper area of the 200-day EMA around 23,900 levels. The underlying trend of Nifty 50 continues to be positive with the next upside to be watched around 24,300-24,400 levels in the near term. Any dips could find support around 23,700 levels. After a subdued movement in the last few sessions, the market breadth has improved significantly with midcap and smallcap stocks closing higher by 1.5% to 2% respectively, which is a positive indication.
Nagaraj Shetti has recommended buying GMR Airports at ₹94.45, with a target price of ₹103 and a stop-loss of ₹89.50. According to LiveMint, the downtrend of the last few months seems to have reversed sharply with a formation of crucial bottom reversal pattern at ₹85 levels. The overall long-term chart indicates a formation of double bottom type pattern around ₹84 levels. Volume and RSI pattern indicate bullish outlook for the stock price, with both recommendations carrying a trading horizon of two to three weeks.
The analyst has also suggested buying Hindustan Aeronautics (HAL) at ₹5,077, with an upside target of ₹5,500 and a stop-loss of ₹4,830. As reported by LiveMint, the stock price has been in a larger consolidation pattern over the last few months with the larger degree bullish pattern like higher tops and bottoms visible as per weekly timeframe chart. The stock price is at the edge of decisive breakout of ₹5,100 levels, with weekly RSI on the verge of breakout of crucial upper area of 60 levels. Both stock recommendations carry the same trading horizon of two to three weeks.
