Indian benchmark indices ended with strong gains on Wednesday, thanks to positive global cues and expectations of rate cuts from the US Fed.
BSE Sensex rallied 368.97 points, or 0.44 per cent, to settle at 84,997.13, while NSE’s Nifty50 surged 117.70 points, or 0.45 per cent, to close at 26,053.90 for the day.
Select buzzing result-bound stocks including Adani Power, Union Bank of India and ITC are likely to remain under the spotlight of traders for the session today. Here is what Laxmikant Shukla, Senior Technical Analyst at YES Securities has to say about these stocks ahead of Thursday’s trading session:
Union Bank of India | Buy | Target Price: Rs 155 | Stop Loss: Rs 132
Union Bank of India has witnessed a bullish surge over the past two weeks, breaking out decisively above the key resistance level of Rs 139-141 and sustaining above all major moving averages on the daily chart, signaling inherent strength. With the breakout zone (Rs 139-141) now acting as a support, any dips toward this range could present a buying opportunity for further upside. The stock appears poised for moving further higher with a potential target of Rs 155 while a stop loss below Rs 132 would help manage risk. Given the bullish momentum, traders may consider entering on pullbacks for a favorable risk-reward setup.
Adani Power | Caution | Resistance: Rs 175 | Support: Rs 157
After a strong rally from Rs 120 to Rs 182, Adani Power is now witnessing profit booking, suggesting a possible correction or consolidation in its uptrend. The appearance of multiple doji candlesticks reinforces this likelihood of a slowdown. Immediate support is expected around Rs 157-155 zone. A break below this level could extend the decline toward Rs 143-140. The bearish outlook is likely to persist unless the stock manages to break above the key resistance level of Rs 175.
ITC | Buy | Target Price: Rs 455 | Stop Loss: Rs 407
ITC share price has recently seen V-shaped kind of recovery from its lower levels, establishing a robust support base around its 100-day SMA. This renewed traction, evidenced by the stock surging above its short and medium-term moving averages, suggests a limited downside risk, making it an opportune moment for investors. Considering the current technical positioning and a favorable risk-reward ratio, we recommend accumulating ITC shares in the Rs 419-421 range with a stop loss at Rs 407, targeting a potential upside to Rs 445 in the short to medium term.