Five stock recommendations for the week
Amid the ongoing trade war concerns between the US and China, the domestic stock market is showing resilience and consolidation with expectations of limited losses in the coming week. Let’s check out the stocks that are likely to gain this week.
Kotak Ban | BUY | Target Price: Rs 1165
After marking a Double Top in the 1115-1131 range between, October 2017 and February 2018, the stock has so far failed to clear this area. Daily MACD remains in continuing buy mode. On the Weekly Charts, Weekly MACD has shown a positive crossover and it is now bullish while trading above its signal line. RSI marked a fresh 14-period high which is bullish. Prices have closed above the Weekly Bollinger band. Given the present structure on the Daily Charts, some consolidation in a limited range is likely but possibility of a upward breakout over coming days cannot be ruled out.
Igarashi Motors India | BUY | Target Price: Rs 900
The stock has been under protracted downtrend after testing highs at 1124. After remaining in a falling channel for over six months, a potential base has been formed in the 800-840 zones. The stock ended above its upper Bollinger band indicating further potential for an upside. With bands being 40% narrower-than normal, the possibility of a sharp mover in prices further increase. MACD remains in continuing buy mode. A fresh MACD positive crossover is seen on Weekly Charts and it now trades above its signal line. RSI is seen reversing from a pattern support and is seen inching higher.
Future Lifestyle Fashions | BUY | Target Price: Rs 475
The stock has been trading in a defined trading range for couple of weeks. On both Daily and Weekly Charts, the stock has ended above its upper Bollinger band which suggest an attempt to break out on the upside. Both Weekly and Daily MACD stays in continuing buy mode. RSI is seen inching higher from a pattern support and is seen marking a bullish divergence against the price. Some upward revision in price of this stock over coming days cannot be ruled out.
Larsen & Toubro | BUY | Target Price: Rs 1400
The stock tested highs at 1470 and saw a corrective retracement after that. Over past couple of weeks, the stock is in a modest and capped trading range while attempting to consolidate while it oscillates in between its 50-DMA and 100-DMA. Daily MACD stays in a continuing buy mode. Daily MACD stays in continuing buy mode while Weekly MACD is narrowing its trajectory to move towards positive crossover. Weekly RSI is neutral and is seen taking a pattern support. The Prices on the Weekly Charts have penetrated the 20-Period MA. The Stock is placed in a leading Quadrant on RRG when benchmarked against the Infra Index.
Bajaj Finserv | BUY | Target Price: Rs 5625
After peaking out in the month of September 2017, the stock has not made any significant gateway since then. Presently, it has formed a double top at 5440 levels and is attempting to break out of this formation. Weekly RSI marked a fresh 14-period high which is bullish. Weekly MACD has shown a positive crossover and it is now bullish while trading above its signal line. Though prices have closed above Bollinger Band on both Weekly and Daily Charts, some mild pullback inside the band is likely. However, the stock is showing strong undercurrent and we may see upward revision in prices over coming days.[“Source-economictimes”]