As bears are getting an upper hand over the bulls on Dalal Street, Indian stock markets are witnessing the wild swings due to volatility. Vishnu Kant Upadhyay, AVP - Research and Advisory at Master Capital Services has shared three largecap stocks- HDFC Asset Management Company Ltd, Escorts Kubota Ltd and Hindustan Unilever Ltd (HUL)- from a trading point of view. The analyst has suggested to 'buy' all the three counters. Here's what the analyst has to say about these counters:
HDFC Asset Management Company | Buy | Target Price: Rs 4,890 | Stop Loss: Rs 4,240
HDFC AMC recently broke out of a key horizontal resistance level, supported by a surge in trading volumes. Prices are trading above the 34-week and 55-week EMAs, reinforcing the bullish trend. Following the breakout, HDFC AMC witnessed a minor correctional pullback, which has brought the prices back to the breakout point. This pullback presents an excellent opportunity for market participants to build fresh long positions, given the favorable risk-reward perspective.
Escorts Kubota | Buy | Target Price: Rs 3,982-4,020 | Stop Loss: Rs 3,670
Escorts Kubota's stock is currently trading within a broad horizontal range of Rs 3,620 to Rs 4,400. The prices have experienced a correction towards the lower range, coinciding with the vicinity of the 200-day EMA, a key support level. Despite this pullback, broader market sentiment remains positive, as evidenced by the ongoing pattern of higher highs and higher lows. The likelihood of prices falling below the 200-day EMA appears limited, given the decline in trading volumes during the correction. A reversal is expected from the current level, presenting a potential buying opportunity
Hindustan Unilever | Buy | Target Price: Rs 2,880-2,920 | Stop Loss: Rs 2,540
HUL's prices have recently broken out from a falling trend line resistance and are currently undergoing a corrective phase, testing the breakout point. This pullback has been marked by diminishing trading volumes, reflecting a waning selling interest among traders. Prices are holding above the crucial support zone at 2540, and as long as this support is maintained, a potential reversal from current levels is expected. Additionally, the stock remains well above its key moving averages, the 34 and 55-week EMAs, further reinforcing the bullish outlook ahead. This setup presents a favorable opportunity for fresh long positions.