The stock of HPCL has formed a bullish engulfing candlestick pattern
BUY IRCTC | TARGET: Rs 1,550 | STOP LOSS: Rs 1,409
The stock has breached a falling channel with higher than average volumes on the daily chart. It has also surpassed its 50-DMA which will now act as an immediate support. The momentum indicators and oscillators have reached the oversold territory and are showing signs of reversal. Based on the above rationale, we can expect the stock to make an attempt to fill the gap which is placed near 1,550 levels.
BUY HINDPETRO | TARGET: Rs 235 | STOP LOSS: Rs 214
The stock has formed a bullish engulfing candlestick pattern along with a tweezer bottom at 214 levels on the daily chart. It has reached the lower band of the Bollinger band which is likely to act as an immediate support. It is trading well above its short-term and long-term moving averages. The momentum indicator and oscillators are also very well in the buy mode on the weekly scale, which hints of a strong reversal on the higher side.
BUY BHEL | TARGET: Rs 39 | STOP LOSS: Rs 35.1
The stock has formed a bullish engulfing candlestick pattern on the daily chart which is considered as a bullish reversal pattern. It has also negated the formation of lower high and low, which hints that bulls are making a comeback in the counter. The momentum indicator RSI and MACD are also very well in the buy mode on the weekly time frame, which hints of a further momentum on the higher side.
Disclaimer: Nilesh Jain is Technical and Derivatives Research - Equity Research at Anand Rathi Shares and Stock Brokers. He may have positions in one or all of the above mentioned stocks. Views are personal.