Indian benchmark indices managed to post strong gains during the trading session on Wednesday on the back of positive global cues. However, traders will be keenly looking at rate cut cues by the central banks including the RBI, which will announce its policy outcome on Thursday. BSE Sensex rallied 874.94 points, or 1.11 per cent, to end the day at 79,468.01. NSE's Nifty50 surged 304.95 points, or 1.27 per cent, to close at 24,297.50 for the day.
Some buzzing stocks namely Suzlon Energy Ltd, Bharat Heavy Electrical Ltd (BHEL) and Tata Power Company Ltd are likely to remain under the spotlight of traders for the session today. Here is what Laxmikant Shukla, Technical Research Analyst at YES Securities has to say on these stocks ahead of Thursday's trading session:
Suzlon Energy | Buy | Target Price: Rs 80 | Stop Loss: Rs 65
Suzlon is now showing signs of revival after experiencing a profit booking over the past two days where prices declined from a peak of Rs 72 to a low of Rs 65. The stock has found stability near its line of parity after two days of straight fall. Additionally, the stock is still trading above all its key moving averages accompanied by the formation of bullish candles indicating a shift from a bearish to a bullish price trend. Looking at these factors, one can utilize this dip as a buying opportunity and expect a pullback move on the upside till Rs 80 with the stop loss of Rs 65 on a closing basis.
Tata Power Company | Caution | Resistance: Rs 455 | Support: Rs 420
Tata Power has been consolidating sideways for the past three days, showing no clear directional bias. On the daily chart, it has encountered significant resistance in the Rs 455-460 range. The repeated formation of doji candlestick patterns indicates market indecision. Conversely, a strong support base has formed around the Rs 420 level, near its 100-day SMA. Therefore, a decisive breakout in either direction is eagerly anticipated to establish a clear trend.
Bharat Heavy Electrical | Buy | Target Price: Rs 335 | Stop Loss: Rs 284
BHEL has experienced a gradual decline from Rs 335 to the Rs 285 level where it appears to be bottoming out and consolidating as indicated by the historical chart patterns on the daily chart. This zone serves as a strong support base. Additionally, the RSI is ascending with a bullish crossover on the daily chart suggesting potential for continued upward momentum. A decisive move above Rs 312 would indicate further strengthening and could trigger an upward move towards the next target of Rs 335 in the coming days.
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