Axis Securities has come out with a list of three trading ideas namely Hindalco Industries Ltd, Carysil Ltd and Kaynes Technology India Ltd, which it believes can deliver up to 18 per cent upsides in the next three-four weeks.
The three stocks have seen decisive breakouts of weekly charts, and are now trading above their key moving averages, supporting the positive stance.
Hindalco Industries | Target: Rs 785-819 | Buy range: Rs 735-720 | Stop loss: Rs 702 | Upside: 8-13%
Axis Securities said Hindalco Industries has given a decisive breakout above the medium-term multiple resistance zone around Rs 715 on the weekly chart, backed by a strong bullish candle-signalling the onset of its medium-term uptrend. The broking firm said the stock is trading well above its 20-, 50-, 100-, and 200-day simple moving averages (SMAs), underscoring robust strength and an improving trend structure.
“The stock has closed above the weekly upper Bollinger band, hence generating a buy signal. Adding to the bullish setup, the weekly RSI has crossed above its signal line and broken out of a horizontal resistance at Rs 60, confirming renewed momentum and reinforcing the positive bias,” it said.
The brokerage expects Hindalco to see upside toward Rs 785-819 levels in the next 3-4 weeks.
Carysil | Target: Rs 1,070-1,115 | Buy range: Rs 955-937 | Stop loss: Rs 885 | Upside: 13-18%
Carysil has decisively broken an Inverted Head and Shoulder pattern at Rs 933 on the weekly chart with a strong bullish candle, marking the onset of a medium-term uptrend.
The breakout, Axis Securities said, is supported by rising volumes, lending conviction to the price action and signalling further upside potential.
“The stock is also holding above the 38 per cent Fibonacci retracement of the Rs 482-944 rally, placed at Rs 772, establishing a strong medium-term support base. Momentum indicators have strengthened the bullish outlook, with the weekly RSI crossing above its signal line, confirming robust underlying momentum,” Axis Securities said,
The stock is expected to move towards Rs 1,070-1,115 levels in the next one month.
Kaynes Technology India Ltd | Target price: Rs 7,580-7,820 | Buy range: Rs 6,760-6,626 | Stop loss: Rs 6,250 Upside: 13-17%
Axis Securities said Kaynes Technology India has registered a decisive breakout above the multiple resistance at zone at Rs 6,530 on the weekly chart, accompanied by a strong bullish candle, marking the end of its consolidation
phase and the continuation of the medium-term uptrend. The volume activity declined during the pattern formation, but there was an increase in volume at the breakout, suggesting the validity of the pattern and market participation.
“Kaynes Technology continues to maintain a higher high-higher low formation and is comfortably positioned above its rising trendline, reflecting sustained buying interest,” Axis Securities said.
The broking firm feels the momentum indicators further validate the bullish setup, with the weekly RSI holding firmly above 50 and a crossover above its reference line generating a buy signal.
“The above analysis indicates an upside toward 7,580-7,820 levels. The holding period is 3 to 4 weeks,” Axis Securities said.