Due to the recent corrections, the momentum indicators and oscillators in HCL Tech stock have reached the oversold territory on the daily chart
BUY HDFC AMC | TARGET: Rs 3,150 | STOP LOSS: Rs 2,850
The stock was in a strong uptrend and witnessed some profit booking from the higher levels. If we take the retracement of the entire rally, then the stock has found support at 38.2 per cent retracement levels which is placed at 2,850 levels. The momentum indicator RSI and MACD are very well in the buy mode on the weekly time frame and hints of a trend reversal on the higher side.
BUY ICICIGI | TARGET: Rs 1,425 | STOP LOSS: Rs 1,340
The stock formed an inside bar pattern on the daily chart which is considered as a bullish reversal pattern. On the daily time frame, the stock has found support at the placement of 200 DEMA and 200 DSMA, and this support are intact since April 2020. The momentum indicator RSI is showing signs of reversal from the oversold territory and MACD has provided a fresh buy crossover on the hourly chart which hints of a further momentum on the higher side.
BUY HCL TECH | TARGET: Rs 980 | STOP LOSS: Rs 899
The stock has formed a hammer candle on the daily chart which is considered as a bullish reversal pattern. Due to the recent corrections, the momentum indicators and oscillators have reached the oversold territory on the daily chart. It has also reached the lower band of the Bollinger band which is likely to act as immediate support. Based on the above rationale, we can expect a strong pullback in the counter.