Best stocks to buy in a tough market
Best stocks to buy in a tough market:
In the current scenario, it is difficult to buy stocks. Most of the Benchmark equity indices continuing bearish trend, the experts say it is difficult to find where the bottom is because of the coronavirus spreading very fast across the globe.
So in this situation, most of the analysts will not come forward to give money-making ideas for the short term.
As we can see in today’s market (March 24th) the Sensex and Nifty gained over 4% after yesterday’s (March 23rd) worst market. Now we are going to give some stocks which suggested by technical experts for the next few weeks.
Best stocks to buy in a tough market
Mazhar Mohammad, Chief Strategist – Technical Research & Trading Advisory, Chartviewindia.in
State Bank of India: In March, the stock witnessed the swing trade between Rs 248-184. Interestingly, Nifty kept on its low side after that day, but this counter had a more relative power. The analyst noted as the market is in reverse mode, it will likely return to Rs 229 levels above the recent lower of Rs 198.
He suggested buy target Rs 229 and the Stop loss Rs 298.
Siemens: Last Thursday, this stock counter did not take part in the carnage with the entire market and declined to lower the corrective movement, suggesting a stronger relative strength. Therefore, it should continue a backward rally with the target set at around Rs 1.232 levels above Rs 1,085 levels, along with broader markets, the analyst said.
The stock with buy target Rs 1,232 and Stop loss Rs 1,090.
ACC: From the last 6 days, the stock action is very promising as it seems that the counter is marginally away from the current prices at Rs 1000 level.
The stock with buy target price Rs 1,209 and Stop loss Rs 1,050.
Vaishali Parekh, head of technical research, Prabhudas Lilladher
Bajaj Finance: In the last two-three weeks, the stock has suffered a significant decline with an intra-day of Rs 2,484, which is almost 50% higher than the high of Rs 4,923 and currently trading close to Rs 2,492. Meanwhile, the stock shows signs of a strong downward recovery. The analyst predicts that this level will increase more, slowly and decently. In the weekly chart, they are support levels at Rs 2,700-2,800.
The stock with buy target Rs 3,600 -Rs 3,800 and Stop loss Rs 2,700.
Shrikant Chouhan, SVP Technical Research, Kotak Securities
Tata Steel: The stock has seen price correction over the last few months. Over 30% of its previous resistance level was corrected from the stock. In the short term, the stock is in the oversold area and daily trends and weekly price reversal chances are small, said the analyst.
The stock with buy target Rs 320 and Stop loss Rs 275.
Eicher Motors: At Rs15,200 the stock was doubled when other Nifty stocks broke in August 2019. Eicher Motors was the largest performer during the 12.400 rallies on Nifty and raised almost 50% from the lower Rs 15.000 to Rs 23.415.
The stock buy target Rs 17,250 and Stop loss Rs 15,000.
Aavas Financiers: In 2019, the stock was strong and stable. At present, the correction observed and in this quarter has declined over 30%. However, Aavas still has a positive medium-term wave structure, the analyst noted that the ideal strategy to add this near levels of support. In addition, the stock is in the oversold zone in short periods and the daily period trading for RSIs is much less than 30, indicating that the current level is not exempt from quick pullback rallies.
The stock buy target Rs 1,475 and Stop loss Rs 1,250.
Vinay Rajani, Technical Research Analyst, HDFC securities
Hindustan Unilever: The analyst noticed that the stock price on the weekly charts was a long-legged bullish “Hammer” candlelight trend and then rose by 2% weekly with higher volumes. The stock price rose above the 200 DMA level and exited on the daily charts from the oversold zone. The Nifty FMCG index closed on weekly charts with a bullish hammer reversing the trend.
The stock buy target Rs 2,200 and Stop loss Rs 2,000.
Dabur India: A bullish “hammer” candlestick pattern was formed on the weekly charts by the stock price. Over the last two days, the stock has improved with a rise over volumes from the weekly low. In daily charts, the stock price has exited the oversold zone. The Nifty FMCG index closed the weekly charts with a bullish hammer candlestick pattern.
The stock buy target Rs 480 and Stop loss Rs 425.
Bhavin Mehta, VP – Derivatives Strategist, Dolat Capital
HDFC Bank: Even when on Friday the stock failed, the analyst reports that in the present market condition, it remains extremely oversold. He says there is a strong chance of good returns in the short term with the RSI below 20-mark on the daily chart.
The stock buy target Rs 940-950 and Stop loss Rs 840.
Titan: On Friday, even though the stock was underperformed, it faced a great deal of buying pressure at lower levels. The analyst said that the risk-reward remains favorable. The oversold RSI suggests a strong chance of short-term improvement.
The stock buy target Rs 980-1,020 and Stop loss Rs 850.