The Nifty witnessed a bear attack for the second consecutive day, with sustained trades below key levels triggering a correction towards 25,000, Rupak De, Senior Technical Analyst at LKP Securities, said. “The sentiment has turned extremely weak, with higher levels being used as selling zones. On the lower end, the next support is seen at 24,750, while on the higher end, resistance is visible at 25,300,” De added.
Here are 2 stock recommendations for Monday:
Buy Petronet LNG at Rs 357.85
Target Price: Rs 410
Stop Loss: Rs 320Petronet has completed its fourth wave and has now started the fifth impulsive wave, indicating that the security is in an uptrend. It rebounded from the 0.618 Fibonacci zone and closed above the 0.786 level, signaling a potential move higher. The price is trading above both the Fast (20 EMA) and Slow (50 EMA) moving averages, confirming the uptrend.
The surge in volume reflects strong buyer interest in the security, and the momentum indicator RSI is trending upward, supporting the positive price action. Based on this technical setup, a long position can be considered as long as the stock holds above the 320 level.
Sell TVS Motor at Rs 2,705.15
Target Price: Rs 2,330
Stop Loss: Rs 2,980
TVS Motor has formed a bearish marubozu candlestick pattern on the weekly timeframe, indicating a negative trend. The stock has made lower lows and lower highs, further signaling that sellers have overpowered buyers. The RSI supports the price action by moving downward, and the recent selling pressure has engulfed nearly five weeks of upward movement, suggesting strength in the downtrend. A short position can be considered in TVS Motor as long as it remains below the 2,985 level.
(Analyst: Kunal Kamble, Sr. Technical Research Analyst, Bonanza Portfolio)
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
